BGC Partners agrees to acquire 100% of Berkeley Point Financial for $875M
BGC Partners announced that it has agreed to acquire Berkeley Point Financial LLC. Berkeley Point is a leading commercial real estate finance company focused on the origination and sale of multifamily and other commercial real estate loans through government-sponsored and government-funded loan programs, as well as the servicing of commercial real estate loans, including those it originates. Berkeley Point was acquired by an affiliate of Cantor Fitzgerald, L.P. on April 10, 2014. The board of BGC, upon the unanimous recommendation of a Special Committee consisting of all four independent directors assisted by independent advisors, has unanimously approved the acquisition of Berkeley Point and the related transactions. The total consideration payable by BGC for the acquisition of Berkeley Point is $875M, subject to certain adjustments at closing. After the proposed acquisition is completed, Berkeley Point and the investment in the new real estate business described below will become part of Newmark Knight Frank, BGC's Real Estate Services segment. The acquisition of BPF is expected to be immediately accretive to BGC's EPS upon closing. The board of BGC has unanimously approved the BPF acquisition and the Investment, upon the recommendation of the Special Committee, which was assisted by independent advisors. Sandler O'Neill & Partners, L.P. served as financial advisor to the Special Committee, and Debevoise & Plimpton LLP served as legal advisor to the Special Committee. The acquisition of Berkeley Point is expected to close during 2017.