WPP sells stake in Chime

Ad network WPP has sold its minority shareholding in the sports, entertainment and communications group Chime.

The share was bought by the group’s majority shareholder, Providence, for £54.4m plus potential additional amounts based on the future value of the business. Chime operates across over 40 offices globally, with clients including HSBC, O2, easyJet, Compare the Market and Netflix.

According to WPP, the disposal is in line with the strategy new CEO Mark Read set out in December last year.

Admitting the advertising group was “too unwieldy, with too much duplication”, Read said that WPP would simplify its structure, close unsustainable operations and right-size or dispose of under-performing businesses – which could see up to 3,500 jobs facing the chop.

Last month, WPP sold post-production services provider The Farm Group to LA-based post company The Picture Shop under undisclosed terms.

Meanwhile, the network’s efforts to finalise the sale of its majority stake in the data and insight consultancy Kantar continue, with the sale reportedly progressing in line with board expectations.