NEWS21 June 2018
US – After reviewing its minority investments, WPP has announced it is selling its remaining stake in digital business Globant.
WPP bought approximately 18.7% in shares in Globant in December 2012, a private placement in January 2013 and Globant’s initial public offering in 2014.
WPP’s Luxembourg subsidiary has started a secondary offering of 5,815,259 common shares of Globant. In a statement it said it had granted the underwriters an option to purchase an additional 872,289 common shares of Globant at the public offering price. None of Globant, its management or any of its other shareholders is offering any common shares, and Globant will not receive any proceeds from the sale of the common shares offered.
Since WPP’s initial investment, Globant has grown to more than 6,900 employees in 12 countries in Latin America, the United States, Europe and Asia. In 2014, Globant listed on the NYSE.
Andrew Scott, joint COO of WPP, said: "Since our initial investment, Globant has experienced significant growth. We wish Martin Migoya and his team well for the future and look forward to continuing our business relationship with Globant."
Martin Migoya, Globant CEO & co-founder, said: "Globant is extremely well positioned to solve the challenges facing today’s organisations, with a strong focus on delivering digital and cognitive transformation, based on innovation, design and deep knowledge of the latest technologies, including AI, Cloud, UX and Agile.
"WPP’s investment in Globant has been very successful and we are excited about the future of our business as we continue to expand."