ÚOHS began to assess the entry of the EHS group into the real estate company M&M reality

The Office for the Protection of Economic Competition (ÚOHS) has begun to assess the entry of investor Mark Rosenbaum's European Housing Services (EHS) group into one of the largest real estate companies on the Czech market, M&M Reality Petr Morcinka. This follows from a notice published on the website of the office. The companies announced the planned merger at the beginning of August, stating that EHS, as an investor in M&M, would acquire a fifty percent stake.

"The proposed merger of competitors is to take place in particular in the area of ​​mediation of real estate sales, and also in the area of ​​mediation of consumer loans and insurance and investment products," the office said in an announcement, stating that it is assessing the transaction in a so-called simplified procedure and will issue a decision within 20 days.

In April 2020, M&M Reality announced that it was being acquired by the property group Arca Capital, but in November the companies announced that they had withdrawn from the announced entry.

M&M Reality is one of the largest companies on the domestic real estate market. The company has 185 branches throughout the Czech Republic and approximately 2,500 brokers. Annually in the Czech Republic, they will ensure the sale and rental of approximately 17,000 properties with a total value exceeding CZK 45 billion. Of this, the company, for example, conducted over 1,500 auctions with a value exceeding CZK 5.7 billion in televised auctions last year and this year.

The EHS group was founded last year and includes, for example, the companies Bezrealitky and Maxima Reality. This year, for example, it invested in the Ownest project, which provides a rent-to-own model with a mortgage for up to five years, and real estate auditors Nemo Report. Last year, to the start-up Roomstory and real estate service Maxima Reality.

Source: CTK