Sorrell’s S4 Capital eyes up second acquisition

Sir Martin Sorrell is reportedly looking to buy US programmatic advertising company MightyHive, in what would be the second acquisition made by S4 Capital since its launch earlier this year.

First reported by the Financial Times, talks between Sorrell and MightyHive are supposedly at an advanced stage, though a deal is not guaranteed. The San Francisco-based company has a valuation of approximately $140-$200m, generating revenues of around $25m per year.

MightyHive calls itself a “Digital Transformation Partner for forward-thinking marketers and agencies”, with clients including Wall Street Journal, Sephora and Everlane. It also advises advertisers on how to take their digital marketing in-house.

S4 Capital made its first acquisition in July, beating WPP to buy MediaMonks for €300m (£266m). MediaMonks claims to be enjoying continuous growth, amplified by the merger, and recently moved its London offices from Mayfair to Clerkenwell to accommodate its expanding team and client base.

Sir Martin became executive chairman of S4 Capital upon its acquisition of cash shell Derriston Capital in a reverse takeover earlier this year. In a conversation with WPP chairman Roberto Quarta, he described his comeback company as a mere “peanut”.