NEWS: Grey in dollars 3.5bn merger talks with BDDP network

Grey International and the French network, BDDP, are in talks about a merger to bolster Grey’s stature on Procter and Gamble’s global roster.

Grey International and the French network, BDDP, are in talks about a

merger to bolster Grey’s stature on Procter and Gamble’s global roster.



Secret discussions between the two networks have been taking place for

some weeks, with staff told not to deny or comment on the behind-the-

scenes negotiations.



The merger would provide Grey, one of P&G’s four roster agencies, access

to BDDP’s P&G business in the US, currently handled by Wells Rich Greene

BDDP in New York. It would also bring in BST-BDDP’s European Hasbro

business. Grey handles Hasbro in the US.



For BDDP, which has spent the past three years recovering from near

collapse following the purchase of Wells Rich Greene and the loss of IBM

and Continental Airlines, the deal would provide a route to one of the

world’s richest ad groups. Grey International’s 1994 billings figure was

dollars 2.5 billion, while BDDP’s was dollars 0.9 billion.



The deal throws up no conflicts, with the exception of BST-BDDP’s Philip

Morris Marlboro business in the UK which would clash with Grey’s BAT

business.



Jean-Claude Boulet, the founder and chairman of BDDP, commented: ‘This

is absolutely untrue. We have been associated with many mergers but

there is no foundation to this story.’



Last year, BDDP appointed Paula Forman to replace Kenneth Olshan as

president of Wells Rich Greene BDDP and described Wells Rich Greene’s

results of the past five years as ‘disappointing’.



If the merger goes ahead BST-BDDP could either buy back BDDP’s 40 per

cent shareholding or merge with the Grey-owned Mellors Reay and

Partners.



Become a member of Campaign from just £45 a quarter

Get the very latest news and insight from Campaign with unrestricted access to campaignlive.co.uk ,plus get exclusive discounts to Campaign events

Become a member

Looking for a new job?

Get the latest creative jobs in advertising, media, marketing and digital delivered directly to your inbox each day.

Create an Alert Now

Partner content

Share

1 Job description: Digital marketing executive

Digital marketing executives oversee the online marketing strategy for their organisation. They plan and execute digital (including email) marketing campaigns and design, maintain and supply content for the organisation's website(s).