Arlington Capital Partners (Arlington), a private investment firm specialising in government regulated industries, has agreed to sell J&J Worldwide Services (J&J), a provider of essential, preventative property maintenance activities to the US Federal Government, to CBRE Group.

J&J currently provides services to over 250 hospitals, clinics and military installations and employs over 3,300 staff globally.

The purchase price will be up to $1.05bn, including an $800m upfront payment and up to $250m in a contingent consideration subject to meeting certain performance thresholds.

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Founded in 1970 and headquartered in Franklin, Tennessee, J&J has a comprehensive portfolio of facility support offerings for federal government and healthcare facilities, including aseptic cleaning, maintenance and engineering services, as well as a diverse range of facility management, operational support and integrated asset management services for US Department of Defense military hospitals and bases.

Closing of the acquisition is subject to obtaining applicable regulatory clearances and other customary closing conditions. Closing is expected in the coming months.

JP Morgan Securities is serving as financial advisor to J&J and Sheppard Mullin Richter & Hampton is serving as legal advisor to J&J and Arlington Capital Partners. Citi is serving as financial advisor to CBRE and Simpson Thacher & Bartlett and ArentFox Schiff are serving as legal advisors.

Source: Private Equity Wire

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