Omnicom set to acquire Interpublic Group: WSJ

Omnicom Group is reportedly in advanced discussions to acquire Interpublic Group in an all-stock deal valued at $13-14 billion, excluding debt, according to a report by the Wall Street Journal (WSJ). The merger would combine the third- and fourth-largest ad buyers globally and is likely to undergo regulatory review. Both companies are based in New York.

Interpublic, which owns brands like McCann, Weber Shandwick, and Mediabrands, had a market value of approximately $10.9 billion as of Friday. Omnicom, valued at $20.2 billion, counts BBDO and TBWA among its key brands. 

Interpublic shares have dropped 10.36% this year to $29.48. 

According to the Wall Street Journal, a deal could be announced as soon as this week, though the exact terms remain undisclosed.

The merger would result in combined revenues exceeding $20 billion based on 2023 figures, putting the entity in competition with UK-based WPP and France’s Publicis Groupe, which reported revenues of $15 billion and $13 billion, respectively.

In 2013, Omnicom and Publicis abandoned a $35 billion merger due to regulatory challenges. The deal would have created the largest advertising group globally.