The merger of WPP and STW in Australia creates an $850 million business. It dwarfs the nearest competition by a long way and CEO of the newly formed WPP AUNZ, Michael Connaghan, expects it to punch through $1 billion before too long. With more than 90 agencies in the combined business, consolidation is inevitable. Connaghan said as much, speaking to AdNews just hours after the merger was passed by shareholders
Communications Group Limited (STW) and increase its shareholding from 23.6% to 61.5%. STW, Australia and New Zealand’s leading marketing and communications group, is a publicly listed company, whose shares are traded on the Australian Securities Exchange
Listed advertising and marketing services firm STW Communications has gone into a trading halt amid speculation of a takeover by Sir Martin Sorrell’s WPP. The move by WPP is not unexpected with the two businesses being closely associated since the late 1990s. STW and WPP partner in some businesses such as Ogilvy, and WPP already owns 23.6 per cent of STW through its subsidiary, Cavendish Square Holdings.
