WPP AUNZ – the details of a takeover masked as a merger creating $850m business

April 6, 2016 9:48

Screen Shot 2016-04-06 at 9.49.02 am

The deal to deliver majority control of STW to WPP forming a new company, WPP AUNZ, will see the business boast revenues of $850m after it received shareholder approval this week.

As part of the transaction STW will issue approximately 423 million shares to WPP at an implied price of $0.915, a 30% premium on the share price.

Total value of the deal is $512m and STW will assume net debt of approximately $125m, with WPP finishing with a 61.5% share in the company.

Subscribe to keep reading

Join Mumbrella Pro to access the Mumbrella archive and read our premium analysis of everything under the media and marketing umbrella.

Simon Canning

Simon Canning was Mumbrella's marketing and advertising editor from 2015-2017. In a career spanning journalism and communications over more than 30 years Simon has become one of Australia’s most respected analysts and commentators on the advertising, marketing and media industries. A regular commentator on radio and TV, Simon has also worked in media in the US and UK .

Topics