M&C Saatchi

M&C Saatchi (LSE: SAA) is an international advertising agency network formed in January 1995 by the brothers Maurice Saatchi and Charles Saatchi after they were ousted from the advertising agency group Saatchi & Saatchi which they had founded in 1970. The Group's holding company M&C Saatchi PLC is listed on the AIM Board of the London Stock Exchange.

Foundation

In December 1994 the Board of Saatchi & Saatchi PLC succumbed to sustained pressure from shareholder representative David Herro of Harris Associates L.P. and moved to remove its Chairman, Maurice Saatchi. Within a month senior executives Jeremy Sinclair, Bill Muirhead, David Kershaw, and a number of Saatchi and Saatchi's London management and creative staff also resigned to join Maurice in a new business which would become known as M&C Saatchi. Charles Saatchi and some consequential clients would soon follow[1] including Gallaher Group, Mirror Newspapers, the retailer Dixons and after a competitive pitch, British Airways and its part subsidiary Qantas as well as the Conservative Party, for whom they made the infamous New Labour, New Danger adverts.[2]

Network

A network was initially established in-line with the office locations required by British Airways and Qantas. By early 1996 the network consisted of offices in London, Singapore, Hong Kong, Sydney, New York and Auckland.[3]

In 2012 the network opened its 27th office in Stockholm, having previously opened offices in Abu Dhabi (2012), Cape Town and Johannesburg (2010), Milan (2010), Beirut (2010), Beijing (2010), Tokyo (2009), São Paulo (2008), Geneva (2008), Mumbai (2007),New Delhi (2006), Paris (2005), Bahrain (2005), Madrid (2005), Berlin (2005), Kuala Lumpur (2003), Shanghai (2000), Wellington (1999), Los Angeles (1999), Melbourne (1997).

As of 2012 the Group also owns the UK based businesses Walker Media (a media buying agency) and Clear Ideas (a strategic brand consultancy).

Operations in Riyadh, Dubai, Suva, Taipei, Bangkok and earlier attempts in Tokyo and Johannesburg had also started and failed during the fifteen-year period between 1995 and 2010.

Ownership and acquisitions

The initial principal shareholders in M&C Saatchi were Maurice and Charles Saatchi and their founding partners Muirhead, Sinclair and Kershaw – collectively known as "the Partners". They generally held 80% of each office while local management held the remaining 20%.[4] M&C Saatchi remained an independent business until 2004, when all of its worldwide shareholders agreed to float 49% of the agency on the Alternative Investment Market, a sub-market of the London Stock Exchange.[5] In October 2006, Marketing Week announced that Charles Saatchi had divested his 7% stake in M&C Saatchi PLC. Charles had had little active involvement in the running of the agency for a number of years.[6]

Limited acquired 49 per cent of their fashion business from M&C Saatchi in 2010 and M&C Saatchi Agency Pty Ltd (Australia) bought back 20 per cent of theirs.Talk PR

The following subsidiaries were acquired throughout the year: M&C Saatchi Mobile Ltd. M&C Saatchi.One SAS, The Source Ltd, M&C Saatchi Abel (PTY) Ltd and M&C Saatchi SPA.

M&C Saatchi bought a 25% stake in the online media intelligence agency Human Digital in March 2011.[7]

In January 2013, the firm took a 60% stake in Merlin Elite, a talent management agency, that would now be renamed as M&C Saatchi Merlin and merged into the advertising network’s sport and entertainment group.[8]

People

In 2005 Graham Fink was made Executive Creative Director[9] of M&C Saatchi London.

References

  1. ↑ Findarticles.com, Saatchi Sacking Milwaukee Sentinel, 16 January 1995
  2. ↑ Carlin, Brendan; Colvile, Robert (5 September 2006). "Saatchis aren't working for the Tories". The Daily Telegraph. London.
  3. ↑ M&C Saatchi Float Prospectus 2004
  4. ↑ M&C Saatchi Float Prospectus 2004
  5. ↑ M&C Saatchi Float Prospectus 2004
  6. ↑ http://www.marketingweek.co.uk/analysis/charles-saatchi-sells-stake-in-mc/2053202.article Charles Saatchi sells
  7. ↑ http://www.brandrepublic.com/bulletin/brandrepublicnewsbulletin/article/1079538/m-c-saatchi-buys-social-media-agency-human-digital/
  8. ↑ Mark Sweney (24 January 2013). "M&C Saatchi takes 60% stake in talent firm". London: The Guardian.
  9. ↑ http://www.campaignlive.co.uk/factsandfigures/alist/1146/graham-fink/

External links

This article is issued from Wikipedia - version of the 1/14/2016. The text is available under the Creative Commons Attribution/Share Alike but additional terms may apply for the media files.