Publicis Groupe :Acquisition of Majority Stake in Affiliate Agencies in Romania / Acquisition d'une participation majoritaire de filiales en Roumanie

GlobeNewswire

PUBLICIS GROUPE FURTHER STRENGTHENS ITS PRESENCE IN ROMANIA, ACQUIRING MAJORITY STAKE IN AFFILIATE AGENCIES

MOVE BOOSTS PUBLICIS IN CENTRAL & EASTERN EUROPE, POISED FOR HIGH GROWTH

Publicis Groupe [Euronext Paris FR0000130577, CAC 40] announced today the signing of a definitive agreement to increase its equity stake to 51% in its long-term Romanian partner agencies Leo Burnett & Target, Starcom MediaVest Group, Optimedia, The Practice and iLeo.

The five Romanian agencies together employ more than 150 professionals and are well recognized leaders on their local market, covering together the full spectrum of communication disciplines from branding to digital, PR, creative and media. Key clients include Procter & Gamble, Samsung, Avon Cosmetics, SanofiAventis, AXA Group, OMV Petrom, GlaxoSmithKline, H&M, Kraft Foods, Novartis Sandoz and Heineken.

This transaction marks a further step towards Publicis Groupe`s goal of accelerating its presence in fast-growing markets, and also reaffirms its commitment to Romania, as a priority market in Central & Eastern Europe. Through this acquisition, Publicis Groupe clients will have access to best-in-class communication services.

Pending approval from the Regulatory Authorities, the transaction is expected to close in Q1-2014. Teddy C. Dumitrescu and Stefan Iordache will be the coCEOs of the operations, with Teddy C. Dumitrescu also serving as Country Chairman. Management of the companies will remain unchanged.

The operations will be reporting to Tomasz Pawlikowski, Chief Executive Officer of Central & Eastern Europe, Publicis Worldwide.

"We have made our development in fast growing markets a top priority for the Groupe. This is an important milestone and a further testimony of our commitment to Central & Eastern Europe, with Romania as a key market,"commented Jean-Yves Naouri, Publicis Groupe COO and Executive Chairmanof Publicis Worldwide.

Tomasz Pawlikowski further commented. "For more than a decade, we`ve built strong relations with our partners that we`ve come to know and deeply trust. Through this new footprint, we affirm once again our commitment to the Romanian market, a fast-growing one, and leading in regional creativity too. Our family becomes larger; we are gaining in terms of resources, competencies, know-how and synergies; we will continue to grow equity for our clients."

"I`m delighted that I and my team will be joining Publicis", said Stefan Iordache, CEO and founder of Leo Burnett & Target. "We strongly believe that this process will provide major benefits to our clients, staff and partners. The integration of Leo Burnett, Starcom MediaVest Group, THE PRACTICE and iLeo will further enhance our capabilities and, through a wider pool of resources and talent, help deliver innovative and best-in-class services to our clients through a globally integrated offering".

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