Kantar Media sold to HIG CapitalThe $1bn sale of the London market research company should lift the value of its parent Kantar Group that is 40 per cent owned by WPPMonday January 20 2025, 12.01am, The TimesPatrick Béhar, chief executive of Kantar Media, said the deal would help to boost its “growth trajectory”The $1 billion sale of a London market research company backed by WPP to an American private equity firm has been agreed in a boost for the FTSE 100 advertising group as it battles against a slowdown in the global advertising market.The disposal of Kantar Media to HIG Capital should provide a lift to the value of its parent company Kantar Group, which is 40 per cent owned by WPP, before an eventual sale or initial public offering by its controlling shareholder.WPP has already monetised part of its ownership of Kantar Group by selling a 60 per cent stake to Bain Capital, another American buyout firm, in 2019, which valued the company at £3.2 billion. The £2.5 billion in net proceeds were put towards reducing debt and to fund a £1 billion share buyback.Kantar Group, which started out in 1992 as the market research division of WPP, measures consumer behaviour and provides brand consultancy services.The media arm is best known for providing television ratings data, operating in more than 60 markets and employing more than 4,500 people globally. AdvertisementPatrick Béhar, chief executive of Kantar Media, joined in 2023 from Sky, one of Europe’s leading media and entertainment companies, where he was the chief business officer for the UK and Europe. He said the deal would give the company “the resources and support to further accelerate our growth trajectory”.WPP has been restructuring and streamlining its operations under Mark Read, the chief executive who took over from Sir Martin Sorrell, the group’s founder, in 2018. Sorrell resigned from the company amid allegations of personal misconduct. He denied the claims and left as a “good leaver”.A Nando’s Peri-Peri sauce campaign involving Bukayo Saka, the Arsenal footballer, was a marketing project by New Commercial Arts, a leading advertising agency bought by WPP in SeptemberNANDO’S/PAThe sale of a 50 per cent stake in FGS Global, the global public relations specialist, to KKR last year netted WPP £604 million. In September, the advertising group returned to the acquisition trail via its purchase of New Commercial Arts, one of the country’s leading advertising agencies, its first significant deal in more than a year.More recently WPP has been battling against a slowdown in global advertising sales as well as the threat to traditional agencies from artificial intelligence in creative work.In the third quarter, net sales returned to growth but the group warned of economic uncertainty and a more challenging end to the year. Net revenue over the first nine months of last year declined by 0.5 per cent after stripping out the impact of acquisitions and disposals, dragged low
Lun. Gen 20th, 2025
