M&C Saatchi goes it alone as promoting agency’s shareholders vote towards takeover by Subsequent Fifteen
- Administrators mentioned they believed in M&C’s ‘robust, standalone future prospects’
- The advert firm has additionally fended off gives by investor Vin Murria
- Now that each gives have lapsed M&C ‘is now not in a proposal interval’
M&C Saatchi will proceed to be an impartial enterprise after shareholders voted towards a takeover by advertising and marketing group Subsequent Fifteen at a courtroom assembly on Monday.
Administrators at adverting group M&C, who initially backed a proposal by Subsequent Fifteen however later withdrew their assist after a stoop in its suitor’s share value, mentioned they believed in ‘the robust, standalone future prospects’ of the corporate.
The termination of Subsequent Fifteen’s takeover provide follows the lapse of one other provide by Vin Murria’s Superior AdvT – which is one in every of M&C Saatchi shareholders to have voted towards Subsequent Fifteen’s provide.
M&C administrators are bullish on the advert company’s prospects as a standalone agency
‘As each the Subsequent 15 Provide and ADV Provide have lapsed, M&C Saatchi is now not in a proposal interval for the needs of the Takeover Code,’ the corporate mentioned as we speak.
M&C added that its administrators appeared ahead ‘to persevering with the implementation of M&C Saatchi’s technique as an impartial enterprise’.
It will do that by investing in ‘excessive margin companies, improve margins, additional simplify the group, implement expertise platforms, and scale information and analytics capabilities, and scale back prices’, it mentioned.
M&C was meant to have a basic assembly to vote on Subsequent Fifteen’s proposal, nevertheless it cancelled it after the provide lapsed.
In a separate assertion, Subsequent Fifteen additionally expressed confidence in its personal future prospects.
It mentioned buying and selling remained robust within the third quarter after a superb first half, with outcomes for the complete yr set to satisfy expectations.
‘The dimensions and power of our US enterprise, mixed with lately introduced new shopper wins, give us confidence for additional development within the subsequent monetary yr,’ it instructed buyers.
Murria had already declared her intention to reject the provide, together with her group saying it will solely again it ought to Subsequent Fifteen’s share value attain a degree whereby the implied worth of the provide surpasses at the very least £1.97 per share.
Over the past six months, Subsequent Fifteen Communications shares have fallen by greater than a 3rd. On Monday, they have been buying and selling 0.7 per cent greater at 882p.
M&C Saatchi shares, which have misplaced 1 / 4 of their worth within the final six months, rose 1.5 per cent to 139p as we speak.