Avison Young Unlocks Growth Capital, Strengthens Balance Sheet

Avison Young said Tuesday it has reached an agreement on a recapitalization transaction that strengthens the company’s financial foundation and provides additional liquidity for growth, sustained profitability and long-term value. Building upon the successful recapitalization in 2024, the transaction positions Avison Young for its next phase of growth.

The firm will engage in a disciplined strategy of organic expansion and targeted acquisitions. The focus will be on expanding its client offerings into sectors and markets with strong growth potential, opportunities where client needs are currently underserved and areas where Avison Young can build upon its established leadership and competitive advantages, including its highly regarded technology and market intelligence platforms.

“We have strong ambitions for Avison Young’s growth and today’s agreement marks an important milestone in helping us achieve them, building on the decisive actions we took two years ago during an unprecedented period of market disruption,” said Mark E. Rose, chair and CEO of Avison Young. “With a strengthened balance sheet and enhanced liquidity, we now have the financial muscle to accelerate our growth strategy while maintaining our unwavering commitment to client services.

“I am confident that these factors coupled with the revenue growth we are delivering as well as signs of a general improvement in market fundamentals, we are well positioned to continue to drive long-term growth in profitability and equity value creation for our shareholders and principals,” Rose continued.

The transaction has resulted in the deleveraging of the balance sheet, with a debt-to-EBITDA ratio of less than 3x, and a reduction of debt and preferred equity by nearly 70%, both representing historic lows for the company.AKey financial stakeholders have taken a meaningful ownership position in the company through a debt and preferred equity swap for common shares and now sit alongside Avison Young principals, the company said.