Another deal for WPP – this time in Africa

SOUTH AFRICA-- WPP is to acquire a minority stake in Smollan Group, a South African marketing services firm.

The deal is subject to regulatory approval. If it gets the go-ahead, WPP will own 33% of the Johannesburg-based firm.

Smollan's main line of business is in field marketing, however it has a marketing intelligence team that carries out point-of-purchase audits, mystery shopping studies and other market research projects.

Clients include dairy goods firm Parmalat, Pioneer Foods, Tiger Brands and Unilever.

Revenue for the year ending 28 February 2008 was ZAR 847m (£47.4m). Smollan operates in a number of African countries as well as India, and has strategic alliances with companies in Europe, North and Central America, Asia and Australasia.

News of the deal follows yesterday's purchase by WPP of a majority stake in Danish modelling shop Data Intelligence, and the near-completion of its £1.1bn takeover of global market research group TNS.

Author: Brian Tarran