Aegis agree to cash offer from Dentsu
Aegis, the media and digital communications group, has announced that it has agreed on the terms of a recommended cash offer from Dentsu, the Japanese media buying and planning agency, for 30.5% of Aegis’s ordinary share capital.
The deal values each Aegis share at £2.40, a 48% premium on their closing price of £1.62 on July 11 and values the entire business at £3,164m.
Dentsu has immediately purchased 15% of the firm and has agreed to conditionally purchase a further 15.5%.
Aegis directors will now unanimously recommend that shareholders approve the deal.
Commenting on the Offer, Tadashi Ishii, president and CEO of Dentsu, said: “Together, we will be able to deliver fully integrated and best-in-class services to our clients through a new global communication network born in the digital age offering a broadened service portfolio.
Dentsu and Aegis will be the market leader in the Asia-Pacific region, enjoying a strong presence across Europe and the fastest growing agency network in the US.”
Jerry Buhlmann, CEO of Aegis, added: “This is a compelling combination of two great businesses that will create one of the world’s most dynamic marketing services groups – and the first to be born in the digital age.”
“We at Aegis are delighted at the prospect of being able to play a full part in helping Dentsu create a platform for global growth and continued digital innovation. By forming the first communications group with true global reach, the growth strategies of both businesses will be enhanced as we provide more scale, geography, capability and investment to support clients.”