logo
  Join        Login             Stock Quote

WPP (WPPGY) To Invest $70M For Stake In Buenos Aires-Based Globant

 January 02, 2013 01:24 PM
 


(By Balachander) WPP Plc (NASDAQ: WPPGY), a communications services company, said it will acquire a 20 percent stake in Buenos Aires-based Globant S.A. for roughly $70 million.

Globant provides clients with infrastructure and technical support that drive digital marketing campaigns. Its net revenue was US$90 million for the year ended December 2011.

Globant's clients include American Express (AXP), JP Morgan Chase & Co. (JPM), LinkedIn (LNKD), Electronic Arts (EA), Google (GOOG), Coca-Cola (KO), National Geographic, Zynga (ZNGA) and Sabre Holdings, as well as a number of WPP companies, such as JWT, Young & Rubicam, Grey, GroupM and Kantar.

[Related -This Stock Is Too Cheap -- A Key Rival Just Told Us So]

Ireland-based WPP said the latest investment continues its strategy of targeting fast-growing markets and sectors and the application of technology to the communications services industry.

[Related -Advertising: We Like The TV Version Better]

As of June 30, 2012, Globant has total assets of US$69 million.

"Partnering with Globant will allow our companies to increasingly provide our clients with insights and skills that will make their digital marketing efforts even more effective and simpler to manage at both the front and back ends," commented WPP Chief Executive Sir Martin Sorrell.

In 2012, WPP said it has completed 25 transactions with companies that are in either faster growing markets (e.g. BRICs, Next 11, CIVETS, MIST) or faster growing sectors such as digital, data or application of technology, or both.

WPP said its digital revenues are budgeted to total well over US$6 billion in 2013, representing over 33 percent of the its total revenue, which totalled US$16 billion in 2011. WPP has set a target of 35 percent - 40 percent of revenues to be derived from digital over the next five years.

U.S.-listed shares of WPP traded 2.72 percent higher at $74.88 on Wednesday.

iOnTheMarket Premium
Advertisement

Advertisement


Post Comment -- Login is required to post message
Name:  
Alert for new comments:
Your email:
Your Website:
Title:
Comments:
 

rss feed

Latest Stories

article imageSanDisk Corporation (SNDK) Q1 Earnings Preview: Heads or Tails on Pop or Drop

SanDisk Corporation (NASDAQ:SNDK) will publish its first quarter 2014 financial results press release via read on...

article imageEstee Lauder Companies Inc (EL): Goldman Sachs is Convicted EL Will Make Your Portfolio Prettier

Want to freshen up your portfolio? Goldman Sachs say to add Estee Lauder Companies Inc (NYSE:EL). The read on...

article imageYahoo! Inc. (YHOO) Q1 Earnings Preview: Another Bullish Surprise Coming

Yahoo! Inc. (NASDAQ:YHOO) will discuss the company's financial results for the first quarter ended March read on...

article imageThe Coca-Cola Company (KO) Q1 Earnings Preview: Guidance About to Fizzle?

The Coca-Cola Company (NYSE:KO) plans to release its first quarter earnings results before the market opens read on...

Advertisement
Popular Articles

Advertisement
Daily Sector Scan
Partner Center

Related Articles:

2 Upstart Stocks With 50% Upside
More Articles on: Business Services , Europe , Americas



Fundamental data is provided by Zacks Investment Research, and Commentary, news and Press Releases provided by YellowBrix and Quotemedia.
All information provided "as is" for informational purposes only, not intended for trading purposes or advice. iStockAnalyst.com is not an investment adviser and does not provide, endorse or review any information or data contained herein.
The blog articles are opinions by respective blogger. By using this site you are agreeing to terms and conditions posted on respective bloggers' website.
The postings/comments on the site may or may not be from reliable sources. Neither iStockAnalyst nor any of its independent providers is liable for any informational errors, incompleteness, or delays, or for any actions taken in reliance on information contained herein. You are solely responsible for the investment decisions made by you and the consequences resulting therefrom. By accessing the iStockAnalyst.com site, you agree not to redistribute the information found therein.
The sector scan is based on 15-30 minutes delayed data. The Pattern scan is based on EOD data.