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Ogilvy & Mather Acquires Majority Stake in Ogilvy South Africa


News provided by

Ogilvy & Mather

27 Jan, 2011, 07:30 GMT

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NEW YORK, January 27, 2011 /PRNewswire/ --

Ogilvy & Mather today announced its agreement to acquire a majority stake in Ogilvy South Africa (Ogilvy SA), subject to obtaining regulatory approvals. Completed, the deal will increase Ogilvy & Mather's ownership of the agency from a 49.9 to 59 percent stake.

Established in 1984, Ogilvy SA is currently the leading communications group in South Africa, employing over 700 staff across 12 companies, with offices in Johannesburg, Cape Town and Durban. It is the No. 1 agency network in South Africa in both revenue and creativity, according to AdReview's most recent agency ranking. In 2010, it was awarded the AdReview Ad Group of the Year. It provides a diverse range of services to clients including advertising, digital and interactive, activation, promotions, internal marketing, CRM, shopper marketing, PR, channel planning and relationship marketing. Ogilvy SA clients include a mix of local and multinational companies including BP, Cell C, KFC, MultiChoice and SABMiller.

This further investment in Ogilvy SA demonstrates Ogilvy's continuing efforts to extend its service offering across Africa, and comes on the heels of another recent deal completed last April ­ the formation of a joint venture with African marketing services giant Scangroup that aims to significantly build its business across the continent.

"Ogilvy & Mather Worldwide has been an extremely supportive partner over the years and this investment reflects their commitment to our company, our people, our clients, our country and the African continent. We look forward to an even closer working relationship in the future," said Nunu Ntshingila, Ogilvy SA CEO.

Notably, Ms. Ntshingila was appointed to the Ogilvy & Mather Worldwide Board last week, further acknowledgement of Ogilvy SA's reputation as a driving force within the Ogilvy network and of the importance of the African market as a whole to the company's future growth.

Miles Young, Global CEO of Ogilvy & Mather, said, "Obtaining majority share of our South African operations was an inevitable next step for our growth strategy in Africa, which I passionately believe is one of the last great frontiers in global communications. While the acquisition has made our majority ownership official, I've always felt that Ogilvy SA has embodied the Ogilvy values and spirit no less so than any of our wholly owned offices. It is one of our network's strongest performers in terms of creativity and business growth. I toast all my partners in Ogilvy SA and welcome them officially to the Ogilvy family with which they have been associated for so long. They are the 'best of the best,' and as a full part of our network they will give to us much more than just geographic presence."

About Ogilvy South Africa

Established in 1984, Ogilvy South Africa has been one of the leading advertising and communications groups in South Africa for the past 20 years. It currently employs over 700 staff across 12 companies with offices in Johannesburg, Cape Town and Durban. It is the No. 1 agency network in South Africa in both revenue and creativity, according to AdReview's most recent agency ranking. In 2010, it was awarded the AdReview Ad Group of the Year. It provides a diverse and integrated range of services to clients including advertising, digital and interactive, activation, promotions, internal marketing, CRM, shopper marketing, PR, channel planning and relationship marketing. Ogilvy South Africa clients include a mix of local and multinational companies including BP, Cell C, KFC, MultiChoice and SABMiller. For more information on Ogilvy South Africa, please visit http://www.ogilvy.co.za.

About Ogilvy & Mather

Ogilvy & Mather is one of the largest marketing communications companies in the world. Through its specialty units, the company provides a comprehensive range of marketing services including: advertising; public relations and public affairs; branding and identity; shopper and retail marketing; healthcare communications; direct, digital, promotion and relationship marketing. Ogilvy & Mather services Fortune Global 500 companies as well as local businesses through its network of more than 450 offices in 120 countries. It is a WPP company (Nasdaq: WPPGY). For more information, visit http://www.ogilvy.com.

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