WPP to sell 60% Kantar stake to US-borne Bain capital

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WPP to sell 60% Kantar stake to US-borne Bain capital

On Friday, the 12th of July 2019, WPP Plc., the debt-laden British multinational advertising and public relation company headquartered in London, had agreed to sell a 60 percent stake of data analytics Kantar to a Massachusetts-based private investment firm, Bain Capital, valuing the London-based data analytics with 30,000 employees at around $4 billion.

Nonetheless, followed by the release of the statement, analysts had been quoted saying that latest downsizing of WPP Plc. world’s largest advertising firm, would proffer its suffocated British owner a breathing space, meanwhile slashing debts and allowing sufficient time to rebuild.

In point of fact, the British advertising firm had been considering an overhaul over the recent weeks following multiple warning on its annual profit and a sudden-departure of its founder and former CEO, Martin Sorrell on alleged misconduct issue, though Sorrell had declined all of the accusations.

Following the announcement of a sell-off of majority stake of Kantar, Sorrell’s replacement Mark Read said, “With a much stronger balance sheet and a return of approximately 8% of our current market value to shareholders planned, we are making good progress with our transformation”.

However, founded back in the early 1990s, Kantar used to offer insights about customers’ and consumers’ view in more than 100 countries.