S4 to merge with Circus Marketing

New Ideas in MarketingEssential news for marketers, summarised by YouGov
January 09, 2020, 1:42 AM UTC

The firm hasn’t disclosed terms of its proposed offer for Circus.

S4 Capital has declared a merger with Circus Marketing, a Mexico City-based digital agency. This merger is not only expected to strengthen S4’s presence in Latin America, but also extend its reach to Spain for the first time.

Circus will merge with S4’s global content practice built around MediaMonks, which merged with Firewood last year, along with BizTech and WhiteBalance. The Circus deal is likely to be over a half in cash and the rest in S4 stock.

Circus predicts its revenue to be $38 million and gross profits to be $20 million in 2019, a 21% and 25% growth, respectively, from 2018. Martin Sorrell, executive chairman of S4 said that Circus and its team share a vision which focuses solely on digital content, “unencumbered by analog baggage”.

Read the original article

[3 minute read]