GroupM set to acquire ad agency

GroupM, the full-service media investment management company of the WPP Group overseeing assets including MediaCom Worldwide, Mediaedge:cia Global, MindShare Worldwide and Maxus, is on the verge of acquiring an agency engaged in the advertising business in India, according to the company's officials.

GroupM has already received approvals from the Foreign Investment Promotion Board (FIPB) to invest foreign equity up to 100 per cent in a company engaged in advertising business.

The target company's operations in India were different from GroupM's current operations in India, said company executives.

In July, Martin Sorrell, chief executive, WPP, had expressed the group's intention of acquiring agencies in India, especially in the digital advertising segment. He had said that several announcements were expected to be made in the near future.

Recently, media services companies in India have branched out to several services outside the traditional ambit. These include entertainment divisions, sports marketing cells, retail design and so on.