WPP takes full ownership of two Chinese JVs

Media agency WPP has agreed to buy full ownership of two existing Chinese joint ventures from Shanghai Advertising Limited.

The acquisition will see WPP’s operating company Ogilvy & Mather Marketing Communications take up the remaining 25% and 15% stakes in Shanghai Ogilvy & Mather Advertising and Shanghai Ogilvy & Mather Marketing Communications Consulting Co.

Founded in 1991, Shanghai Ogilvy & Mather Advertising specialises in advertising strategy, design and production with key clients including YUM! Brands, Unilever, Philips, Nestlé and Coca-Cola.

Its gross revenues for the year ending 2015 were RMB633.2m, with gross assets of RMB466.3m.

Shanghai Ogilvy & Mather Marketing Communications Consulting was founded in 1997 and is a communications and public affairs consulting agency. Revenues for the year ending 2015 were RMB575.8m, with gross assets of RMB416.9m. Clients include Nestlé, IHG, UPS and Lenovo.

WPP said the deal demonstrates its strategy and commitment to investing in important markets and sectors.

At 0930 GMT, WPP shares were up 0.8% to 1,903p.