Realogy Holdings (formerly Domus Holdings) has the goods for domestic bliss for a lot of people. It is the largest franchisor of residential real estate offices in the world through its Realogy unit, which has about 13,800 offices in more than 100 countries. Its brands include Century 21, Coldwell Banker, ERA, Better Homes and Gardens Real Estate, and Sotheby's. In addition to franchising, the company owns and operates more than 725 offices under the already mentioned brands along with the Corcoran Group and CitiHabitats labels. It also provides relocation, title, and settlement services, and mortgages. The residential real estate giant changed its name in September 2012 and went public in October.
The initial public offering of 40 million shares priced at $27 (the top of its price range) was a vote of confidence of sorts in the recovery of the residential real estate market in the US. Realogy will use the IPO proceeds to reduce its more than $7 billion in debt. Despite losing $99 million in 2010 and $440 million in 2011, the firm believes the real estate market is poised for recovery. Its strategy includes growing all segments of its business though it offers no specifics on that front.
Post-IPO the investment firms Apollo Management and Paulson & Co. own 48% and 15% of Realogy's shares, respectively.
▲ Show Less▼ Show Full Description