Publicis in Takeover Talks with Aegis

French-based Publicis Groupe has acknowledged that it has been in 'very preliminary conversations' about a possible offer for Aegis Group, owners of MR firm Synovate. The acknowledgement follows industry rumours and speculations about a 'mystery' approach made to Aegis earlier this week.

Responding to the speculations, Publicis announced yesterday that 'it is extremely premature to conclude that these conversations will lead to an offer for Aegis', and said a further announcement will be made 'if and when appropriate'.

The previous day, Aegis had confirmed that it has received an approach 'at an indicative level of 140 pence per Aegis share'. It did not reveal the source, and stated that 'the approach is preliminary in nature and there can be no certainty that an offer will be made'.

The revelation that Publicis was behind the talks surprised many in the industry, who believed Havas chairman Vincent Bollore, who bought a 6% stake in the firm in August, was likely to make an approach (www.mrweb.com/drno/news4391.htm ). Some media reports have suggested that Publicis was prompted to consider making an offer for Aegis only after Havas bought a stake in the group. However, according to the Financial Times, Publicis has been interested in acquiring Aegis for 'several years'.

This week's announcements have failed to quieten the speculation: commentators are now asking whether other companies, including Havas and the Omnicom Group, may be prompted to make an offer for Aegis.

Aegis, which recently announced a pre-tax profit rise to £36.9m from £35.4m last year, is online at www.aegisplc.com . Publicis, which also owns ZenithOptimedia and this week acquired a majority stake in Freud Communications, is online at www.publicis.com.

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