OMNICOM SCOOPING KETCHUM
By Adnews Staff
U.S.-based Omnicom Group has signed a letter of intent to buy Ketchum Communications. The deal is expected to close in the spring. Pittsburgh-based Ketchum owns one-third of Toronto agency Stringer Veroni Ketchum Advertising and will continue to do so after it is taken over by Omnicom. Agency president Clive Veroni told Adnews yesterday that the takeover by Omnicom will give his shop a stronger presence with clients that operate internationally, such as Binney & Smith, General Electric and Dole Foods. Ketchum Communications is an employee-owned company founded in 1923. It consists of Ketchum Public Relations, Ketchum Advertising and Ketchum Directory Advertising. The PR division accounts for almost half the worldwide gross income of Ketchum. Ketchum ad clients include Honda's Acura division and the Orville Redenbacher unit of Conagra Inc. Omnicom will beef up its PR business and take on some valuable clients with the acquisition of Ketchum. The latter will gain access to the formidable resources of Omnicom, one of the world's largest ad agency holding companies. Omnicom has BBDO Worldwide, DDB Needham Worldwide, TBWA International and Goodby, Silverstein & Partners.