NEWS6 November 2012

Dentsu-Aegis deal delayed amid Chinese concerns

Asia Pacific M&A

CHINA — Dentsu’s £3.2bn takeover of Aegis is unlikely to be completed until February owing to the slow process of Chinese regulators examining the deal, the companies have admitted today.

The deal, announced in July and including the Aztec scan-data business and the Aevolve marketing effectiveness company, has now recieved clearance from all relevant national and regional competition authorities except the Ministry of Commerce of the People’s Republic of China (Mofcom).

In an offer update posted today, Aegis claimed that it and Dentsu “remain confident that the acquisition will become effective on or prior to 28 February 2013”, and that they “remain in constructive dialogue with Mofcom”.

The two companies plan to combine Dentsu and Aegis to “create a new global communications network for the digital age focused on delivering best-in-class brand, media, digital and marketing services for the combined client base through a fully integrated social platform.”