WPP's Finsbury to merge with SVC in $917 mln deal (updated)
13/10/2021 08:26
(Recasts, adds detail on deal, leadership and background)
Oct 13 (Reuters) - Advertising group WPP WPP.L said on
Wednesday its public relations unit Finsbury Glover Hering would
merge with peer SVC to form a new company worth about $917
million, and Roland Rudd would remain a co-chairman of the
combined entity.
The new company seeks to be a leader in strategic
communications and will have expertise in areas such mergers and
acquisitions, initial public offerings, special purpose
acquisition company transactions, shareholder activism, ESG and
cybersecurity, WPP said.
"The demand for Board-level strategic advice on a growing
range of financial, reputational and social issues has never
been greater," WPP Chief Executive Officer Mark Read said in a
statement.
The new company will have three co-chairmen. SVC's George
Sard will join Rudd and Carter Eskew, who were co-chairmen of
Finsbury Glover Hering.
Millionaire public relations executive Rudd co-founded
Finsbury in 1994 and sold his majority stake for around 41
million pounds to advertising grandee Martin Sorrell seven years
later. He became chairman in 2011 when the company merged with
U.S. ally Robinson Lerer & Montgomery.
WPP will remain the largest shareholder in the new company
with a 57.4% stake, while FGH Managers will hold 25.9%.
(Reporting by Yadarisa Shabong in Bengaluru; Editing by
Subhranshu Sahu)
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+919742735150;))