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ENVOY COMMUNICATIONS AND LEAGAS DELANEY DEAL CALLED OFF

Toronto-based Envoy Communications Group and London-based Leagas Delaney have called it quits. The two companies announced yesterday they had mutually agreed not to complete the proposed acquisition of Leagas Delaney by Envoy, citing an inability to come to terms on an acceptable value for the proposed deal. "Each party felt that a strong strategic fit exists between the two organizations, but we could not settle on a valuation of the business that would benefit the shareholders of each organization," Envoy president and chief executive officer Geoff Genovese said. "While we are disappointed that this transaction will not go forward, we are continuing our pursuit of acquisitions that add value and synergies to our award winning international network." In November Envoy entered into an agreement to acquire Leagas Delaney. At the time, the acquisition was expected to close by January 2001.

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