French advertising giant Havas has signed a joint venture agreement with China's Guangdong Advertising Group according to a Reuters report.
The Guangdong Advertising Group has over 300 clients including Dongfeng Nissan, China Mobile and China Telecom in its roster.
This move by Havas follows an acquistion in New Zealand, and is part of its expansion in the fast-growing Chinese market. The agreement will see Havas owning 51% of the new venture, Havas GIMC advertising company.
"This move represents a major step in the Havas Group's expansion in China. The Chinese market is one of the fastest growing markets in the world and is now second in terms of ad spending which offers outstanding opportunities for brands," said Yannick Bollore, chief executive officer, Havas Group.
"I'm very excited about this partnership. China is not only a scale market, but also a speed market. The joint-venture will leverage creativity, expertise and tools from Havas, and the buying clout and the widest service footprint from GIMC. With this, we can best deliver the scale and the speed needed for our client businesses. More importantly, this joint-venture will be, on the back of Havas global network, the first China based agency with a network dedicated to supporting the international expansion of Chinese companies and bring more Chinese brands globally. " said Chen Tianlong, chairman, GIMC.