Marketing communications major, Ogilvy & Mather (O&M), a subsidiary of WPP plc , recently inked a deal with PennyWise Solutions Pvt. Ltd. (PennyWise) to acquire a majority stake in the latter.
The strategic deal is likely to aid Ogilvy & Mather in combining its digital skills and services with the technical and production skills of PennyWise, to offer effective solutions to its clients. Moreover, the deal will not only strengthen Ogilvy & Mather’s presence globally including Europe and North America, but will help the company to acquire major clients like Vodafone India and Johnson & Johnson as well.
Based in India, PennyWise is a prominent digital technology and production company. The company provides a wide array of digital services, including custom application development, mobile application development, SEO, digital listening, online consumer response management systems, data analytics and business intelligence as well as network support and infrastructure management services.
The deal marks an important milestone in WPP’s efforts to build its presence in fast-growing markets and sectors.
WPP offers a host of advertising and marketing services including advertising and media investment management; consumer insight; public relations and public affairs; direct and digital promotion as well as relationship marketing. The primary focus of the company is to grow its revenues and gross margin at a faster rate than the industry average. Going forward, WPP expects to achieve a leading position in new markets and new media as well as depth in consumer insight.
WPP currently carries a Zacks Rank #2 (Buy). Some other stocks worth considering include MDC Partners Inc. , PublicisGroupe SA and Corporate Executive Board Co. . All of these have the same Zacks Rank as WPP.