Schonbraun McCann Group (SMG)
April 1, 2008
Compass Advisers, LLP (“Compass”) is pleased to announce the sale of The Schonbraun McCann Group (“SMG”) to FTI Consulting, Inc. (“FTI”). This transaction marks the completion of a strategic review by SMG, the leading, dedicated national real estate and finance consulting firm in the U.S. The transaction with FTI combines SMG’s best-in-class real estate consulting platform with FTI’s global business advisory capabilities. The transaction highlights Compass’ abilities to advise a human-capital driven, business services company and execute a sale transaction with a strategic partner.
Compass worked with SMG to conduct a strategic review of the company, advising SMG regarding potential opportunities of partnering or merging with strategic partners. Based in New York City and New Jersey, SMG offers a full range of real estate financial consulting services including mergers & acquisitions, due diligence, IPO advisory, tax structuring & compliance, restructuring & bankruptcy, litigation support, valuations, corporate strategy and executive compensation consulting to REITS, REOCs, leading owners and developers from the private sector, financial institutions, opportunity funds, hedge funds and pension fund advisors. Through a combination with a strategic partner, SMG seeks to accelerate the growth of its own platform to new geographies, and with additional practice areas, attract new clients and better service existing clients. In addition, SMG’s real estate industry expertise, established brand name, and depth of talent should be a tremendous asset to a strategic partner.
Compass assisted SMG throughout the transaction process, including:
- Performing a strategic review of the business and its opportunities
- Identifying and contacting potential strategic partners
- Presenting the business, its management team, and potential synergies to interested parties
- Due diligence
- Negotiating price and transaction terms, which included cash, stock, an earn-out and ongoing
- Structuring and negotiating employment terms for SMG’s key personnel
Bruce Schonbraun, SMG’s Founder and Managing Partner comments, “We are pleased to be joining FTI. We share corporate values and a similar business philosophy – to recruit the best talent possible and to provide a comprehensive range of high-end consulting advisory services. Compass was instrumental in working with us to create, develop and execute a strategic transaction with FTI.”