WPP Confirms Interest In Aegis Research Arm

A bidding war for control of media buying agency Aegis now looks inevitable, following confirmation this morning that WPP is considering a bid for the company, with its main interest in the Synovate market research operation.

Martin Sorrell, chief executive of WPP, confirmed that his company is considering a joint bid with American private equity firm Hellmann & Friedman, a collaboration first alluded to last week by a source close to the company (see Bollore Raises Stakes As WPP Shows Interest In Aegis).

In an interview with this morning’s Daily Telegraph, Sorrell confirmed speculation over WPP’s interest in Synovate, Aegis’s market research business. Meanwhile, a report in the Financial Times claimed that Aegis is not considering an alliance with rival Havas, whose chairman Vincent Bollore has been steadily increasing his own stake in the company, yesterday reaching 15%.

The flurry of interest surrounding Aegis was sparked by confirmation nearly three weeks ago that rival Publicis had tabled a bid for the firm, valuing it at around £1.8 billion (see Publicis Confirms Aegis Bid Rumours).

Since then Aegis has confirmed preliminary merger talks have been held with several potential bidders, although the firm was quick to state that there can be “no certainty” that an offer for the company will result (see Aegis Confirms Rival Bids For Takeover).

Meanwhile, a report in French daily newspaper, La Tribune, claims that Publicis will announce its decision on whether or not to pursue a friendly takeover of Aegis within days, possibly as soon as tomorrow.

Aegis Group: 020 7070 7700 www.aegisplc.com WPP: 020 7408 2204 www.wpp.com