By taking full control of BBH, Publicis Groupe, world's no. 3 holding company with $ 8.09 bn revenue (Source Ad Age), is investing in the future where it lies – key emerging markets like India.
In a well publicised move, Publicis announced upping its stake in BBH from 49 per cent to a complete buy out. Revenue at BBH, which has about 1,000 employees in offices across the globe, is estimated to be around $164 mn.
In a statement to FT.com Maurice Levy, Chairman, Publicis Groupe said that he expects the deal to help Publicis expand its business in emerging markets. “There is the possibility of growing now, considering you have the right operations,” he said. According to the website, Publicis is looking at emerging markets (such as India) which contribute to around 45 per cent revenues of BBH.
In comments to The Wall Street Journal Levy said, “During the next two or three years, Europe will be a difficult.” He added that owning BBH gives them a chance to tap into a new well of talent and a network of assets in markets such as India. By owning the company 100 per cent, there is now “a much easier path” to investing in BBH's business, he added.