UGL agrees DTZ sale

AUSTRALIAN engineering services company UGL has agreed the cash sale of property agency DTZ to a consortium for £650m.

UGL bought London-based DTZ – which has a network of regional offices including Manchester – in 2011 for £77.5m and merged its property services business into it.

It has been acquired by TPG Capital Management, PAG Asia Capital and Ontario Teachers’ Pension Plan.

Sydney-based UGL put DTZ up for sale a year ago to cut debt as its main engineering services division faced declining revenues due to a slowdown in the Australian mining sector.

It is considering “a range of options for the efficient use of net proceeds”.