Publicis Groupe Further Strengthens Its Presence in Romania, Acquiring Majority Stake in Affiliate Agencies

Tue Oct 1, 2013 2:00am EDT

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Publicis Groupe Further Strengthens Its Presence in Romania, Acquiring Majority Stake in Affiliate Agencies

MOVE BOOSTS PUBLICIS IN CENTRAL & EASTERN EUROPE, POISED FOR HIGH GROWTH

Regulatory News:

Publicis Groupe (Paris:PUB) [Euronext Paris FR0000130577, CAC 40] announced today the signing of a definitive agreement to increase its equity stake to 51% in its long-term Romanian partner agencies Leo Burnett & Target, Starcom MediaVest Group, Optimedia, The Practice and iLeo.

The five Romanian agencies together employ more than 150 professionals and are well recognized leaders on their local market, covering together the full spectrum of communication disciplines from branding to digital, PR, creative and media. Key clients include Procter & Gamble, Samsung, Avon Cosmetics, SanofiAventis, AXA Group, OMV Petrom, GlaxoSmithKline, H&M, Kraft Foods, Novartis Sandoz and Heineken.

This transaction marks a further step towards Publicis Groupe’s goal of accelerating its presence in fast-growing markets, and also reaffirms its commitment to Romania, as a priority market in Central & Eastern Europe. Through this acquisition, Publicis Groupe clients will have access to best-in-class communication services.

Pending approval from the Regulatory Authorities, the transaction is expected to close in Q1-2014. Teddy C. Dumitrescu and Stefan Iordache will be the coCEOs of the operations, with Teddy C. Dumitrescu also serving as Country Chairman. Management of the companies will remain unchanged.

The operations will be reporting to Tomasz Pawlikowski, Chief Executive Officer of Central & Eastern Europe, Publicis Worldwide.

“We have made our development in fast growing markets a top priority for the Groupe. This is an important milestone and a further testimony of our commitment to Central & Eastern Europe, with Romania as a key market,” commented Jean-Yves Naouri, Publicis Groupe COO and Executive Chairman of Publicis Worldwide.

Tomasz Pawlikowski further commented. “For more than a decade, we’ve built strong relations with our partners that we’ve come to know and deeply trust. Through this new footprint, we affirm once again our commitment to the Romanian market, a fast-growing one, and leading in regional creativity too. Our family becomes larger; we are gaining in terms of resources, competencies, know-how and synergies; we will continue to grow equity for our clients.”

“I’m delighted that I and my team will be joining Publicis,” said Stefan Iordache, CEO and founder of Leo Burnett & Target. “We strongly believe that this process will provide major benefits to our clients, staff and partners. The integration of Leo Burnett, Starcom MediaVest Group, THE PRACTICE and iLeo will further enhance our capabilities and, through a wider pool of resources and talent, help deliver innovative and best-in-class services to our clients through a globally integrated offering.”

“We are really proud to announce this transaction,” added Teddy C. Dumitrescu, CEO of Grupul Publicis Romania. “It is a natural step forward and we are establishing a much stronger position in Romania, as part of a more effective and integrated business structure.”

About Publicis Groupe

Publicis Groupe [Euronext Paris FR0000130577, CAC 40] is one of the world’s leading communications groups. We offer the full range of services and skills: digital (DigitasLBi, Razorfish, Rosetta, VivaKi), creative services (BBH, Leo Burnett, Publicis Worldwide, Saatchi & Saatchi), public affairs, corporate communications and events (MSLGROUP), media strategy, planning and buying (Starcom MediaVest Group and ZenithOptimedia) and healthcare communications, with Publicis Healthcare Communications Group (PHCG). Present in 108 countries, the Groupe employs 60,000 professionals.

www.publicisgroupe.com | Twitter:@PublicisGroupe | Facebook: www.facebook.com/publicisgroupe | Linkedin : Publicis Groupe | http://www.youtube.com/user/PublicisGroupe |

Viva la Difference!

About Leo Burnett Romania

Leo Burnett & Target was established in 1994, providing top-quality full-service advertising services. Recognized as one of the most creative and strategic agencies on the Romanian market, Leo Burnett is working with an impressive portfolio of companies, including leading international and local brands such as: AXA Group, Bergenbier, BRD-Groupe Société Générale, KLM, Praktiker, Petrom, Procter&Gamble, Samsung.

www.leoburnett.ro | Facebook: www.facebook.com/leoburnettRomania

About Starcom MediaVest Romania

Starcom MediaVest Group is a leading media communication agency, launched in 2000 with the declared purpose of growing clients’ businesses by transforming behavior through uplifting, meaningful Human Experiences. To achieve this purpose, SMG encompasses an integrated team of strategists, media specialists, content creators and digital experts. The agency was the first one in Romania awarded at Cannes and winning agency at other festivals such as Eurobest, Portoroz, Effie and Webstock. The agency’s client roster includes Avon Cosmetics, GlaxoSmithKline, Heineken, H&M, Kraft Foods, Novartis Sandoz, Procter & Gamble, Samsung.

http://starcomblog.ro/starcom-romania | Facebook: www.facebook.com/StarcomRomania

About Optimedia Romania

Optimedia was established in Romania in 1997 as an affiliate of Publicis Groupe. The agency offers full-media services and a solid expertise based on the skills of Senior personnel with more than 10 years experience in the market. Optimedia’s clients portfolio includes long-term accounts such as: Zentiva Romania, Sanofi Aventis, OMV, Petrom, Covalact, AlphaBank, Profi, Zenyth Pharmaceuticals.

About THE PRACTICE

With an integrated approach to communication, THE PRACTICE activity and skills exceed the work of a traditional PR agency. With a strong focus on results through creativity, the company is a constant presence on the award stage of competitions of the industry and it is currently the Eastern Europe Consultancy of the Year and the Agency of the Year in Romania, the first PR agency in Romania awarded at Cannes Lions, the only winner of a Grand Prix at an International PR competition (EMEA SABRE), and the single winner of the Global Sabre Awards trophies (2011 and 2012). THE PRACTICE already is the strategic partner of MSLGroup, the public relations network of Publicis Groupe.

www.thepractice.ro | www.twitter.com/ThePracticeRO | www.facebook.com/ThePracticeRomania

About iLeo Interactive Marketing

iLeo is a leading digital performance agency. Founded in 2006, iLeo offers the full range of skills and competencies in the web, performance, social media, mobile and digital media. Awarded Digital Agency of the Year at important industry competitions, iLeo proved its performance by the latest iAdMarket Study, iLeo being at the top of best digital/on-line agency in terms of creativity, strategy and social media. Client portfolio includes brands from: Auto Italia, AXA Insurance, Bergenbier, BRD, Dacia, Intersnacks, Medas, Pernod Ricard, Procter & Gamble.

http://www.ileo.ro/ | http://twitter.com/LeoInteractive | http://www.facebook.com/iLeo.Romania

Publicis Groupe
Peggy Nahmany
Corporate Communication
+ 33 (0)1 44 43 72 83
Martine Hue
Investor Relations
+ 33 (0)1 44 43 65 00
Stéphanie Constand-Atellian
Investor Relations
+ 33 (0)1 44 43 74 44

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