14th Dec 2015 07:09
LONDON (Alliance News) - WPP PLC said Monday it has agreed to merge its Australian and New Zealand businesses with STW Communications Group Ltd, and increase its shareholding to 61.5% from 23.6%.
STW is an Australian Securities Exchange-listed marketing and communications group.
WPP will sell its Australian and New Zealand businesses to STW for AUD512 million, through the issue of STW shares at a price of AUD0.915, and a shareholder loan. As a result, WPP will become the majority shareholder of the enlarged company with a 61.5% interest, and STW will be renamed to align it with WPP.
The deal is conditional on shareholder and regulatory approval.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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