The Leeds-based agency Poulter Partners has sold its stake in a media joint venture it formed with New PHD and Cogent as it looks to concentrate on other core disciplines within the communications group.
The move will leave Poulter without its own media operation, but New PHD Compass will remain Poulter's preferred media partner. The Leeds operation will continue to trade as before, with no management changes.
Poulter's decision to sell its stake to New PHD follows two years after it became the third partner in New PHD Compass, alongside New PHD and Cogent. Until then Poulter had operated as a full-service agency.
The establishment of a Leeds office helped to boost PHD Compass' regional network and Poulter's involvement brought in accounts such as the pounds 11 million McCain Foods business.
Poulter is understood to be keen on investing in developing other parts of its business, such as its new-media operations. For New PHD its increased stake will mean that it will invest more heavily in developing its out-of-London operations.
Andrew Diamond heads New PHD Compass in Leeds and reports to Mark Cross, the chief executive of New PHD Compass.
Nick Horswell, the co-chairman of New PHD, said: 'Andrew and his team have done some outstanding work. We've got ambitious plans for the next few years both in terms of growing the business and expanding our range of services. The opportunity to acquire Poulter's stake ahead of this substantial investment is one we couldn't miss.'