Grey Global Group shareholders have approved the sale of the company to Sir Martin Sorrell’s WPP Group, clearing the way for the deal to close on March 7 this year.
Grey shareholders are reported to receive $1.7 billion in cash and WPP stock out of the $1.5 billion purchase of the New York based media group.
It was thought that the merger may affect the market for media buying, but in January the European Commission gave WPP the go ahead for the acquisition of Grey (see WPP Approved To Buy Grey).
The purchase of Grey Global also brings with it the account of the world’s largest advertiser Procter & Gamble, as well as drinks group Diageo and the pharmaceuticals giant GlaxoSmithKline. Grey had, until now, been the only major advertising agency not to be owned by another group.
Grey will lift WPP’s revenues by around 20%, the company said last September, and combined revenue for 2004 will have reached £4.9 billion ($9.2 billion).
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