Advertising and media giant WPP is to buy a minority stake in Pakistan-based marketing agency Coverge Technologies for an undisclosed sum.
The acquisition, which is to be made by a subscription for new shares, is already WPP's 10th of 2012. The firm, led by frontman Martin Sorrell, is making the purchase through its wholly-owned global advertising and communications company JWT.
Converge, based in Karachi, offers a range of technology-based marketing solutions and digital marketing services, including, customised applications for SMS; interactive voice response; entertainment content; and news and broadband gaming. Its clients include Nokia, Pakistan State Oil, PTCL and Unilever.
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
The company generated revenue of 187m Pakistan rupees (around £1.3m) in the year ended June 30th 2011 and had gross assets at that date of PKR76m.
"This investment continues WPP's strategy of developing its services in faster growing geographic markets and sectors and strengthening its capabilities in digital media and the application of technology," the statement said.
WPP currently generates around 30% of its $16bn in revenue from direct, digital and interactive operations and has set a target of 35-40% in the next five years.
BC
-
FTSE 100 hits record highs – why is it rising and will we see more gains?Advice UK equities have been described as unloved for a long time but as the FTSE 100 hits new highs, we explain if now is the time to buy British.
-
How to invest in copperIt may be time to invest in copper as the red metal appears poised for a big jump. Dominic Frisby looks at what should investors should buy
