IPG Interpublic Group of Companies Inc

Advertising titan, WPP plc’s (WPPGY) wholly-owned subsidiary, Kantar has recently acquired shares of Global Market Insight Inc., a global provider of technology solutions and online panels to the market research industry. Financial terms of the transaction were not disclosed.

Global Market Insight specializes in providing technology-enabled survey solutions, global panel and innovative survey methodologies. The assets acquired will be integrated with Kantar’s division Lightspeed Research, engaged in delivering online research panels and products globally.

The acquisition supports WPP Group’s efforts in expanding its operations in fast growing emerging markets, thus enabling the company to gain access to Global Market’s key client base.

Global Market Insight was founded in 1999 in Bellevue, Washington and employs over 230 people. The agency generated roughly $64 million revenues for the year ended 31 December 2010. Gross assets for the same period were $26 million.  

According to a leading global media investment management operation, GroupM, advertising expenditure is likely to grow by 4.8% in 2011 and by 6.8% year over year in 2012 worldwide. Addition of new assets to the advertising portfolio will be helping the company leverage from the rising demand in the advertisement world.

The current Zacks Consensus EPS Estimate for WPP Group is $5.01 and $5.60 for the fiscal year 2011 and 2012, respectively. The estimate for 2011 represents a year-over- year growth of 33.87% and 11.88% for 2012. Estimate for the third quarter is $2.40.

Based in Dublin, Ireland, WPP Group plc provides advertising and communications services worldwide. The company faces competition from its peers like Interpublic Group of Companies Inc. (IPG), Omnicom Group Inc. (OMC), and Publicis Groupe SA (PUBGY.PK).

 
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