Publicis Groupe confirms decision to pull out of talks to buy Samsung advertising arm Cheil Worldwide
Publicis Groupe has confirmed its decision to end talks to acquire Samsung’s advertising arm Cheil Worldwide.
The announcement comes after earlier reports revealed the consumer electronics giant had resumed efforts to sell off its 12.6 per cent stake in the advertising business.
The Korea Times reports that talks broke down between Samsung and Publicis over whether Cheil would handle the advertising for Samsung Group’s advertising for certain periods as a condition for the buy. Cheil apparently refused.
In a statement Publicis said: “Publicis Groupe confirms having agreed with Samsung to end the discussions regarding a possible investment alongside the proposed collaboration with Cheil Wordwide. The strategic relationship with Samsung is as strong as ever and we will continue to work daily with Samsung and Cheil Worldwide to make the brand even more successful.
Samsung’s decision to cut its ties to the business is part of a move to divest all its non-core businesses.