Publicis Closes Razorfish Deal

NEW YORK Publicis Groupe said it has finalized the acquisition of Razorfish from Microsoft.
The deal’s final price came to $531 million: 6.5 million of Publicis shares worth about $263 million, and $286 million in cash.
The transaction leaves Microsoft as owner of 3.3 percent of Publicis. “Our taking stock in this transaction is a reflection of the long-term partnership we have with Publicis,” said a Microsoft spokesman. Microsoft and Publicis struck an alliance in June that includes collaboration on a TV ad exchange.

Publicis is making Razorfish part of its VivaKi digital group. Razorfish CEO Bob Lord will report to David Kenny, managing director of VivaKi.
The deal makes Publicis, the No. 3 holding company, the holder of the most digital assets of its peers, thanks to its acquisitions of Digitas and Razorfish. Publicis said digital would account for 25 percent of its 2009 revenue, with Razorfish included.

Publish date: October 14, 2009 © 2020 Adweek, LLC. - All Rights Reserved and NOT FOR REPRINT