Vimeo: Consulting Media

Sunday, July 28, 2013

Publicis and Omnicom in huge ad merger deal -

Publicis and Omnicom in huge ad merger deal - The planned merger of two advertising giants means a shake up in Chicago for Leo Burnett and several other agencies. Publicis and Omnicom Sunday announced merger plans to create the world's biggest advertising group, worth $35.1 billion, a tie-up that could put pressure on rivals to do deals to keep pace. Chicago-based Leo Burnett is part of Publicis, as is Digitas Chicago. DDB Chicago and Energy BBDO are both part of Omnicom. The transaction marks a return of jumbo-sized M&A among the world's 'Big Six' advertising groups, which have spent the past few years buying up much smaller targets in emerging markets and among web marketing specialists. The French and U.S. company presented the deal as a "merger of equals" in which Publicis and Omnicom shareholders will each hold about 50 percent of the new company's equity. Publicis said the transaction was expected to create "significant value for shareholders", with expected synergies of $500 million. The merged group would keep its head offices in Paris and New York, it said. "(Omnicom head John Wren) and I have conceived this merger to benefit our clients by bringing together the most comprehensive offering of analog and digital services," Publicis Chief Executive Maurice Levy said in a statement. Levy also said the French government was supportive of the merger. The deal is likely to push the remaining advertising agencies to consider mergers to keep up. Current leader WPP may make a move for U.S.-based Interpublic, France's Havas or Japan's Dentsu, said Pivotal Research analyst Brian Weiser in a note. "What would have been unthinkable previously would now make sense," he said. Together, Publicis and Omnicom had combined 2012 revenue of $22.7 billion, with more than 130,000 employees, and they would overtake WPP, worth $24.1 billion. The deal would bring together Publicis brands such as Saatchi & Saatchi and Leo Burnett with Omnicom's BBDO Worldwide and DDB Worldwide. Wren and Levy will be joint CEOs for an initial integration and development period of 30 months, after which Levy will become non-executive chairman and Wren sole CEO, Publicis said. Publicis shareholders will receive one newly-issued ordinary share of Publicis Omnicom Group for each Publicis share they own, plus a special dividend of 1.00 euro per share. EARNINGS BOOST Omnicom shareholders will receive 0.813 newly issued ordinary shares of Publicis Omnicom Group for each Omnicom share they own, together with a special dividend of $2.00 per share. They will also receive up to two regular quarterly dividends of $0.40 per share. The companies said the transaction would be a cross-border merger of equals under Netherlands-based holding company Publicis Omnicom Group, with stock market listings in both New York and Paris. Publicis said the deal, which had been unanimously approved by the boards of both companies, was expected to close in the fourth quarter of 2013 or the first quarter of 2014. Levy said the merger would boost adjust earnings per share and that the new company would keep its BBB+ debt rating. The head of rival agency Havas questioned the logic of the merger earlier on Sunday, saying digital business and technology had made scale irrelevant, and that the uncertainties associated with large mergers would distract staff away from clients. "I'm not sure this is in the best interests of their clients or their talent," David Jones said. "Clients today want us to be faster, more agile, more nimble and more entrepreneurial, not bigger and more bureaucratic and more complex." The CGT union said the merger would fly in the face of the government's ambitions to preserve French brands, adding that the merged group would be dominated by the U.S. in many areas. The union called on the French government and competition authorities to avoid a monopoly situation being created, adding that it would mobilise to protect jobs. Levy said he did not expect resistance to the deal from the French government. "We don't expect that the French government will have anything else other than great support," he said. Moelis is acting as financial advisor to Omnicom, while Rothschild is advising Publicis on the deal. Reuters contributed to this report

Thursday, March 14, 2013

Virtual Exhibits - International Women's Exhibit 2013 -- Women In Focus - Virtual Exhibits

Virtual Exhibits - International Women's Exhibit 2013 -- Women In Focus - Virtual Exhibits

An exhibit in Celebration of International Women’s Month, March. Representing and connecting women from around the world from all backgrounds and cultures, working in all areas of life who share the same passion, photography. The exhibit is sponsored by Women In Focus, a women’s photography Group in Atlanta, Georgia. Curator is Gittel Chase Price, President of Women In Focus and Founder of the Women In Photography LinkedIn Group of more then 29,000 women from all parts of the globe. Those images denoted with an * are in the top twenty chosen.