The division will offer clients specialist online media planning and buying services and will be run by Agency Republic's media director, Martin Kelly. He will head a team of 14 people and plans to recruit more staff.
Media Republic will operate from Agency Republic's London offices and will operate across display media, search marketing and affiliate marketing. It will also work with Ipsh, its sister Omnicom agency, to offer mobile planning and buying services.
Martin Brooks, the Agency Republic chief executive, said: "We have excellent people and this allows us to punch above our weight. Agency Republic was seen mainly as a creative agency. We are res-ponding to a big opportunity."
Launch clients for Media Republic include O2, BBC Worldwide, Blockbuster and Cancer Research UK.
With billings of £18 million, Media Republic claims to be in the top ten UK online buying agencies. It will also operate as part of OPera Digital, Omnicom's pooled negotiations unit.
Kelly said: "Media and creative is unbundling in the digital world and clients are demanding specialisation."
- Comment, page 44.