International law firm CMS is advising long-standing client M&C Saatchi plc (“M&C Saatchi”) on its contested takeover which has resulted in a £310m offer from Next Fifteen Communications Group plc (“Next Fifteen”).
M&C Saatchi was the subject of an approach from AdvancedAdvT Limited (“ADV”), which, together with ADV’s chair (who is also deputy chair of M&C Saatchi), had acquired a 22% holding in M&C Saatchi. ADV announced a hostile offer for M&C Saatchi, valuing M&C Saatchi’s shares at £253.6m, which was rejected by the M&C Saatchi independent directors. Following subsequent discussions with Next Fifteen, Next Fifteen announced a £310m offer for M&C Saatchi which has been unanimously recommended by the M&C Saatchi independent directors.
M&C Saatchi focuses on creative marketing, advertising and communications, connecting specialist expertise through data and technology to deliver meaningful change. Its multi-discipline offering ranges from demand creation using data analytics, brand strategy, experience and innovation, through to multi-channel creative communications involving advertising, sponsorship, brand reputation, personalisation, brand experience, talent and influencer management, and performance media. M&C Saatchi’s customers include Adidas, The Commonwealth Bank of Australia, Costa Coffee, Heineken, Nando’s, Optus, and UNICEF.
Next Fifteen is an AIM-traded tech and data-driven growth consultancy with operations in Europe, North America and across Asia Pacific. The Next Fifteen group operates across four segments: customer insight helps customers understand their opportunities and challenges; customer engagement optimises their reputation and digital assets; customer delivery helps them connect with their customers to drive sales; and business transformation helps maximise long-term value through corporate positioning, business design and the development of new ventures. Next Fifteen has long-term customer relationships with many of the world’s leading companies including Google, Amazon, Facebook, Microsoft, IBM, American Express, Procter & Gamble, Dell, Intuit and Salesforce.
M&C Saatchi and Next Fifteen believe that the transaction will establish a truly global platform in the digital marketing and consulting sectors, a platform that leverages top-flight creativity, technology, data, business consulting and digital marketing to deliver meaningful change for the enlarged client base.
Commenting on the transaction, Moray MacLennan, CEO of M&C Saatchi said:
"This merger will be a powerful accelerator for M&C Saatchi. Through connecting with Next Fifteen capabilities and companies, our ability to deliver Meaningful Change for existing and new clients will be deepened and broadened, turbo charging our next phase of growth."
The CMS team was led by Client Relationship and Corporate partner Simon Morgan and included Corporate partner and head of Equity Capital Markets Alasdair Steele, corporate senior associate Nicole Gyring-Nielson and associates Alice Frydl and Eloisa de Vera; Competition partner Jacqueline Vallat and associate Shona Murphy; and Employee Incentives partner Andrew Quayle.
