The text of the Dentsu Inc. news release distributed on January 5 is as follows.
January 5, 2018
Dentsu Inc. Acquires Majority Stake in U.S. Digital Marketing Firm Hello World
Dentsu Inc. (Headquarters: Minato-ku, Tokyo; President and CEO: Toshihiro Yamamoto; Capital: ¥74,609,810,000) has reached an agreement with the shareholders of U.S. digital marketing company HelloWorld, Inc. (Headquarters: Detroit; CEO: Peter DeNunzio; hereinafter "HelloWorld") to acquire a majority stake in the company through its overseas headquarters, Dentsu Aegis Network.
HelloWorld possesses strong competitive capabilities in digital marketing services specializing in data-driven omnichannel customer engagement. Its strength lies in contributing to consumer loyalty enhancement through proprietary initiatives such as brand value enhancement strategies, membership program development, SMS utilization, and data analysis. Since its establishment in 1999, the company has secured major influential clients in industries including beverages and cosmetics/toiletries, earning high acclaim and achieving growth. Currently employing approximately 370 people, primarily digital domain specialists, the company operates sales offices in its Detroit headquarters, as well as in Seattle, Chicago, New York City, Los Angeles, and other locations.
Following the acquisition of HelloWorld, Inc., we will rename the business brand to "HelloWorld, a Merkle Company" and integrate its expertise and know-how with that of "Merkle," the largest independent data marketing company in the U.S. acquired in 2016. This will enhance the scale and capabilities of "Merkle," one of our group's global network brands, enabling us to provide more competitive solutions to a broader customer base.
The Group will continue to accelerate its growth strategy in the global digital marketing market.
The impact of this transaction on the consolidated results for the fiscal year ending December 2018 will be minimal.
*Dentsu Inc. Aegis Network (London), which oversees Dentsu Inc.'s overseas operations, conducts business globally centered around 10 global network brands. These 10 brands are Carat, Dentsu (Dentsu Brand Agencies), dentsu X, iProspect, Isobar, mcgarrybowen, Merkle, MKTG, Posterscope, and Vizeum.
【Overview of HelloWorld, Inc.】
Company Name: HelloWorld, Inc.
Headquarters: Detroit, Michigan, USA; with operational bases in Seattle, Chicago, New York City, Los Angeles, etc.
Established: March 1999
Shareholder Structure: After share acquisition, Dentsu Inc. holds 87%
Revenue: $53 million (approx. ¥5.98 billion) (Fiscal Year Ending December 2016)
Representative: Peter DeNunzio (CEO)
Number of Employees: Approximately 370
Business Description: Provides digital marketing services specializing in data-driven omnichannel customer engagement
End
Dentsu Inc. News Release
http://www.dentsu.co.jp/news/release/2018/0105-009424.html
