MUMBAI: WPP Group's GroupM has ceded control of MediaCom's Indian operations after Mumbai-based independent agency Madison Communications took a 51% share in the media shop.
The new entity has already been awarded media planning chores for Procter & Gamble India, which are valued at $80 million (€50.9m; £40m) and were previously handled by Starcom. MediaCom India was already responsible for media buying.
It has been suggested that MediaCom might buy a share in Madison, but this strategy was reportedly rejected as it could have caused a potential conflict of interest with Unilever, the media account for which is handled by GroupM's MindShare India.
The full financial details of the deal have not yet been made available, but it has been confirmed that GroupM will not “be involved in managing” the new Madison–MediaCom combination.
Says GroupM India's chief executive Vikram Sakhuja: “GroupM is supportive of WPP's call to form an independent joint venture, keeping the clients larger interests in mind."
Data sourced from M&M Global; additional content by WARC staff