Advertising and media giant WPP is to buy a majority stake in French digital data and campaign technology marketing group Predictys, as it attempts to widen its footprint in the digital industry.
Predictys, founded in 2007 and headquartered in Grenoble, has a co-operative database which includes information from 140m opted-in consumers from among moor ethan 25 co-op partners.
Most of its clients are affiliation networks that use it as a third-party provider to supply their own clients with direct marketing services. The firm generated sales of €3.36m in the 2011.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Predictys is to become part of WPP's wholly-owned operating network for "knowledge-based" marketing solutions, KBM Group, adding to the 5,000 people already employed by the parent company in France (including associates). France is WPP's seventh-largest market, generating annual revenues of around $850m.
There was no financial information given relating to the acquisition.
"This investment continues WPP's strategy of investing in fast-growing markets and sectors and strengthening its capabilities in digital media and technology," the group said.
WPP's digital revenues account for 30%, or $4.8bn, of its total revenues of over $16bn; the group, led by frontman Sir Martin Sorrell, wants this exposure to digital increase to 35-40% of total revenue over the next five years.
BC
-
What’s happening to the NatWest share sell-off? Impact of general election 2024 explainedThe UK government has held shares in NatWest Group since the 2008 Financial Crisis. But a plan to sell off a large chunk of them appears to have been delayed.
-
Will a general election delay interest rate cuts in the UK?Many had been expecting a summer rate cut and an Autumn general election. Has Rishi Sunak scuppered one by bringing forward the other?
