INTERPUBLIC TO BUY TRUE NORTH
By Adnews Staff
New York-based Interpublic Group of Companies has enterted into an agreement to acquire Chicago-based True North Communications for $2.1 billion in stock. The acquisition will create the world's largest marketing communications organization, according to the companies, combining Interpublic's agency networks McCann-Erickson WorldGroup and The Lowe Group with True North's FCB Worldwide. Interpublic's roster of independent agencies including Campbell Mithun, Deutsch and The Martin Agency, will be joined by True North's Bozell Group and Temerlin McClain. The combined organization will operate 850 offices in over 130 countries. The acquisition will expand Interpublic's position in business sectors including advertising, media services, public relations, event and promotional marketing, branding and digital communication services. David Bell, currently chairman and CEO of True North, will become vice chairman of Interpublic. The deal is expected to close in the summer.