It’s a slow media week – but the Boston Globe provides some more insight on the financials behind the $1.3 billion merger of Publicis Groupe and Digitas. The market certainly likes the deal – shares of both companies have been up since the announcement.
Thinking through the deal (briefly) with Harley Manning and Suresh Vittal, there are a couple of interesting aspects that aren’t being mentioned:
- Digitas has a heritage in direct mail and brings left-brain skills to the table…
- …but recent history shows that other Publicis agencies are unlikely to benefit from the interactive skills at Digitas. But the stock price will.
Forrester clients can read more here.
UPDATE: Article in Friday’s Wall Street Journal with deeper background, based on information from David Kenny, CEO of Digitas (subscription required)