The job, which Mr. Smith has effectively held for the last decade, has grown tougher and far less glamorous of late. Realogy — which owns Coldwell Banker, Century 21, ERA, Sotheby’s International Realty and, in the New York area, the Corcoran Group — was spun off from Cendant in late July at the end of the hottest housing boom in decades.Bajaj's comments regarding going private are interesting. Leon Black's Apollo Investors funded NRT initially and I would not be surprised to see the same thing happen with Realogy.Since then, Realogy’s shares are down about 10 percent. Sales of existing homes nationally have fallen more than 10 percent from last year’s record-setting pace and prices declined nationally in August for the first time in 11 years.
Some analysts say that the company’s decision to buy back nearly 20 percent of its shares may be a prelude to an acquisition by a private equity firm. They note that residential real estate companies have never found a comfortable home on Wall Street, because it is easier to manage the cyclical businesses under private control, especially during downshifts. (A tender offer by the company for its shares and a recovery in housing-related stocks, however, has helped push the company’s shares back up in recent weeks.)
Yahoo Finance on Realogy.
