La Croisette in Cannes was alight with rumours that two of the world’s largest holding companies are considering a merger.
While details are scant, B&T has been privy to conversations where industry insiders have been discussing the merger. Three industry insiders told B&T that they have been chatting with others in adland about a potential deal during goings on in the south of France.
The rumours have emerged at an interesting time. A decade has elapsed since the proposed merger of Publicis and Omnicom was canned after a year of negotiations and planning.
The firms said they called off the deal as there were challenges that “remained to be overcome” and the slow pace of progress was creating uncertainty that would be “detrimental” to both of them.
“The challenges that still remained to be overcome, in addition to the slow pace of progress, created a level of uncertainty detrimental to the interests of both groups and their employees, clients and shareholders,” the then chief execs of the two holding companies, Maurice Levy and John Wren said in a joint statement.
Industry pundits said at the time that the deal became a battle
If that deal happened today, the merged company would have a combined market capitalisation of nearly $AU68 billion.
Publicis has grown to become the world’s largest advertising holding company since that deal was canned. Campaign has reported that there is a “febrile” atmosphere at the top end of agency land given the run it has on the rest of the holding companies.
More to follow.
