WPP subsidiary acquires majority stake in online rival

Corporate communications agency Addison, a wholly-owned subsidiary of British advertising giant WPP, announced this morning it has acquired a majority stake in Emaxol, the holding company of online rival IR Group (release).

IR Group (“The Group”) employs 65 people and specialises in designing, building, hosting and developing corporate websites and digital consulting services. Clients include Tesco, BG Group, Centrica, Kingfisher, InterContinental Hotels Group, Tullow Oil, Cairn Energy, Petrofac and Rexam.

WPP said:

This investment continues WPP's strategy of developing its services in important markets and sectors and its declared commitment to strengthening its digital capabilities across all its disciplines. WPP's digital revenues were well over US$5 billion in 2012 and represented 33% of total Group revenues of US$16.5 billion. WPP is targeting at least 40-45% of revenues to come from each of fast-growth markets and new media over the next five years. Collectively, WPP companies (including associates) employ 15,000 people in the UK with revenues of nearly US$3billion (including associates).