Planning an international expansion drive, German network Scholz & Friends will make an initial public offering on November 26 to become the first of the nation’s ad agencies to float on the market.
The group recently merged with Berlin-based listed media company United Visions Entertainment, turning it from Scholz & Friends Group to Scholz & Friends AG, a deal which will conclude with Monday’s IPO.
At present, Cordiant Communications owns about 77.3% of the shares and UVE 6%. Around 6% will be floated. Scholz posted gross income of $74 million in 2000, and operates fifteen offices in twelve countries, mainly in Eastern Europe.
New chairmen Thomas Heilmann and Sebastian Turner have ambitious designs for the money raised from flotation: “Our plan is to set up Scholz & Friends in every European country within the next two or three years, followed by public relations and event agencies,” revealed Heilmann. “We may buy small shops but also start on our own. After two or three years we may look at overseas markets.”
News source: AdAge Global; Scholz & Friends website