Aegis, the media communications group, is bolstering its market research capability with the acquisition of Pegram Waters for a maximum consideration of £5 million.
The takeover is in line with Aegis' strategy of expanding into market research to give it a broader platform for growth. The process began with the acquisition of Market Facts in June 1999.
Pegram Waters, founded 19 years ago, provides an array of proprietary research products to a number of blue-chip clients. Doug Flynn, the Aegis chief executive, described the deal as "another step towards our goal of building a global market research network."
The initial consideration of £2 million will comprise 1,202,615 new Aegis shares and £466,666 in cash. A deferred cash consideration of up to £3 million is conditional on Pegram Waters' performance.