Capstone Partners advises RE/MAX INTEGRA on the sale of its North American Regions to RE/MAX Holdings for $235 million

Capstone Partners advised RE/MAX INTEGRA (the Company), the largest real estate sub-franchisor of the RE/MAX brand, on the divesture of the Company’s North America regions to RE/MAX, LLC, one of the world’s leading franchisors of real estate brokerage services, for approximately $235 million.

RE/MAX INTEGRA is the largest global real estate sub-franchisor within the RE/MAX network. RE/MAX INTEGRA’s franchisees represent roughly approximately 1/3 of all RE/MAX agents worldwide and are comprised of nearly 19,000 agents in North America alone. The Company previously owned the exclusive rights to sell RE/MAX franchises in the Midwest, New England, Eastern Canada, and all of Europe. Through this sale, RE/MAX, LLC acquired the rights to five provinces in eastern Canada and nine U.S. States. RE/MAX INTEGRA will continue to own the master franchise for RE/MAX Europe and will continue to manage operations there.

This transaction will create a strong foundation for growth for the RE/MAX brand, amplifying market share, agent count, brand awareness, advertising, online presence, listings, leads and more. The outcome results in competitive advantages, creates new opportunities, and furthers the interests of RE/MAX affiliates.

Founded in 1973 in Denver, CO, RE/MAX, LLC operates as a franchisor of real estate and mortgage brokerage services in the United States, Canada, and internationally. It operates through three segments: Real Estate, Mortgage, and Marketing Funds. The Company offers its real estate franchise services under the RE/MAX brand, and mortgage brokerage services to real estate brokers, real estate professionals, mortgage professionals, and other investors under the Motto Mortgage brand. It also provides real estate technology and marketing tools, including booj Platform, which integrates a suite of digital products.

Walter Schneider, President & Co-Founder, RE/MAX INTEGRA, commented

"Capstone navigated our deal through a lot of unexpected hurdles and delivered us maximum value."

Pamela Alexander, Former President, RE/MAX INTEGRA’s Canadian operations and daughter of founder Frank Polzler, added

"The Capstone team was not only talented but also patient and tenacious through the transaction process"

John Ferrara, Capstone’s founder & CEO and lead banker on the transaction, said

“This was a unique situation with a spectacular outcome. This represents the combination of an entrepreneurial family legacy with a publicly traded market leader in a cross-border deal. As proud as we are of the transaction, we were honored to be part of this chapter in the lives of both the Schneider and Polzler families. Theirs is a special story with a well-deserved result.”

Yogesh Punjabi, Director at Capstone Partners, commented

“We feel grateful to have advised the Schneider and Polzler families, true pioneers in the real-estate brokerage industry, in realizing a successful transaction. The legacy that these families built over the past 40 years is unmatched in the industry, and we are thrilled to play a part in such a monumental event.”

Dave Liniger, Chairman and Co-Founder of RE/MAX Holdings, stated

“Frank Polzler and Walter Schneider have spent 40 years building standout regions and changing the lives of entrepreneurs. Their passion, drive and unrelenting high standards have helped shape RE/MAX into what it is today. In many respects, their vision launched our global growth, and they’ve mentored and inspired fellow RE/MAX trailblazers around the world. Moving forward, their North America regions will be in good hands with the next generation of leaders, and RE/MAX Europe will continue to thrive under their guidance. Frank and Walter are RE/MAX legends. We’re forever grateful for their efforts and friendship – and tremendously excited about the future”.

 

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