Mitchell Shareholders Approve Aegis Takeover

Australian marcoms group Mitchell Communications has received the thumbs up from its shareholders for its $363m takeover by UK-based Synovate parent, Aegis.

Mitchell Communications oversees 21 businesses that provide clients with an integrated approach to communications, including services such as media planning and buying, consumer insights research, and sponsorship.

Its research and analytics agency Symphony offers all forms of consumer research, including online, telephone, secondary analysis and access to an online panel of more than 25,000 Australians.

At a meeting in Melbourne today, 99.8% of votes cast were in support of the takeover by Aegis, which still has to be approved by The Supreme Court of Victoria on Friday.

Aegis has offered $1.20 for each Mitchell share, or 40 Aegis shares for every 67 Mitchell shares.

Reports in the press say that founder and Executive Chairman Harold Mitchell will now own 5% of Aegis, and is expected to be given a Board seat once the deal has closed.

Prior to the vote, Mitchell commented: 'Some of you may choose, as I will, to become part of a bigger world. Aegis has a turnover of some $20bn - that's 50% bigger than the entire Australian advertising industry. Many of you in this room, including myself, are going to be part of that.'

In a statement, Aegis welcomed the shareholder approval, and said that assuming the Court endorses the acquisition, the sale is likely to complete on Wednesday 17 November 2010.

Web sites: www.mitchells.com.au , www.symphonyinsight.com.au , www.aegisgroupplc.com and www.synovate.com .

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.