UGL Limited has announced that corporation has entered into a binding agreement to sell its global property services business, DTZ, to a consortium comprising TPG Capital, PAG Asia Capital, and Ontario Teachers’ Pension Plan, for an enterprise value of $1.215 billion.

UGL has undertaken a process to evaluate third-party interest received in DTZ to determine whether a potential sale of the business is in the best interests of the shareholders. Following completion of this process, the board determined that it was.

UGL Chairman, Trevor Rowe AO said, “Over the past 18 months, the board has carefully evaluated various options to determine which operate in different markets, with different geographic focuses and strategic requirements. The board continues to believe a structural separation of DTZ and Engineering is in the best interest of shareholders, and will be beneficial for both our clients and our people.”

Rowe added that the board considered a number of alternatives, including a demerger and a sale of DTZ.

“The TPG and PAG consortium are best placed to support the future strong growth potential of DTZ as it becomes one of the dominant global property services players, ensuring the long term interests of our clients and our people are maximized,” he said.

The sale consideration will consist solely of cash, and is conditional on certain approvals from regulatory bodies. The transaction is expected to be completed around September 2014.