PRZOOM - /newswire/ -
Tokyo, Japan, 2013/01/04 - Dentsu, Inc. announced that its US holding company, Dentsu Holdings USA, has acquired Mitchell Communications Group, a fast-growing independent public relations agency in North America. Tokyo: 4324
Dentsu, Inc. (Tokyo: 4324; ISIN: JP3551520004; President & CEO: Tadashi Ishii; Head Office: Tokyo; Capital: 58,967.1 million yen) announced today that its US holding company, Dentsu Holdings USA, has acquired Mitchell Communications Group (CEO: Elise Mitchell; Headquarters: Fayetteville, Arkansas, USA), a fast-growing independent public relations agency in North America, the world’s largest advertising market. The transaction was completed on December 31, 2012 (January 1, 2013 JST).
Public relations is one of the communications services required by clients, and the system used to date in the US was collaboration between Dentsu Group companies and outside PR agencies. The Group's North American business has grown steadily, and there is a growing demand from existing clients for PR services as well. Under these circumstances, Dentsu has promoted the provision of comprehensive and integrated services as one of the Group’s strengths, but in order to better serve clients’ needs and create further revenue opportunities, it decided to acquire Mitchell Communications, known for its excellent service capabilities and earnings capacity.
In addition to core PR services such as consumer and media relations, Mitchell Communications has strengths in creative and digital services, social media, and corporate communications, including reputation management, risk management and public affairs. Dentsu expects that these capabilities will bring high added value to its clients and lead to increased competitiveness.
In April last year Dentsu launched the Dentsu Network, an umbrella organization overseeing all of the Group’s agencies outside of Japan. Dentsu will leverage the acquisition of Mitchell Communications to build a global PR network that will serve clients in more markets with more capabilities through collaboration between Dentsu Network agencies.
The impact of this transaction on Dentsu’s consolidated and non-consolidated financial results for the fiscal year ending March 31, 2013 is expected to be minimal.
A profile of Mitchell Communications is provided on the following page.
Profile of Mitchell Communications
Company Name: Mitchell Communications Group, LLC
Headquarters: Fayetteville, Arkansas, USA
Year of Establishment: 2012 (originally established in 1995)
Date of Transaction: December 31, 2012
Shareholding Ratio: Dentsu Holdings USA, Inc. 100%
Revenues: 2011 results: 10.24 million USD (approx. 890 million JPY)
2012 forecast: 13.68 million USD (approx. 1.19 billion JPY)
(Exchange rate: 1 USD = 87 JPY)
Representative: Elise Mitchell, CEO
Number of Employees: 75 (in addition to a national network of more than 20 PR specialists located in 14 states)
Principal Business: All-encompassing communications in the public relations field.