MAM
WPP acquires 61% stake in STW for $512 million
MUMBAI: STW Group, Australasia’s marketing content and communications services group, comprising over 75 operating companies, is all set to merge with WPP’s Australian and New Zealand businesses.
Martin Sorrell helmed WPP has acquired a 61 per cent controlling stake in STW for approximately $512 million, of which $387 million will be paid via new shares with STW assuming debt of $125 million.
Post the merger, STW CEO Michael Conaghan will continue in his current post and Robert Mactier will also remain chairman of the company.
Mactier said, “Bringing together the respective iconic brands and wonderfully talented people of STW and WPP Australia and New Zealand under a single common ownership and will unlock tremendous local and global capability, experience and efficiencies for our clients as well as establishing a fantastic platform for our people to prosper.”
“The transaction is EPS accretive as a result of the issue of new STW shares at a premium to market and also delivers a material reduction in STW’s leverage and the opportunity to unlock a range of synergies thereby creating significant value for our shareholders. Importantly, binding governance protocols and shareholder protections have been agreed for the benefit of the continuing minority stakeholders. I consider this a genuine win-win transaction for all our stakeholders. Post completion, we look forward to working seamlessly with WPP as our major shareholder and strategic partner as we embark on the exciting journey that is in front of us,” he further added.
Connaghan said, “To finally align our shareholdings in those existing partnerships (J Walter Thompson, Mindshare, Maxus and Added Value) and now to expand our relationships across the full STW and WPP Australia and New Zealand portfolio of companies is an amazing opportunity. WPP is the leading player on the global stage in our industry. We have the potential to create a group unparalleled in this part of the world, totally focussed on our home markets, but allowing our clients and people open access to the best thinking on a global level.”
Sorrell added, “The merger of our Australian and New Zealand operations with STW, will give us a unique opportunity to offer our local and international clients a comprehensive set of services and to make sure we can offer the best talent through country management. It will also enable STW to focus on the Australian and New Zealand markets, which it knows best, with a structure that will strongly incentivise its people.”
Brands
Thomas Cook India, SOTC and Booking.com team up for smarter corporate stays
Global hotel choices meet Indian corporate controls for seamless business travel
MUMBAI: Business travel just got a major upgrade. Thomas Cook (India) and its group company SOTC Travel have joined forces with Booking.com to offer Indian corporates world-class accommodation options with a side of convenience.
The collaboration brings Booking.com’s vast global inventory, more than 31 million listings across 220 countries, straight into Thomas Cook and SOTC’s corporate booking platforms. From luxury hotels and resorts to homes and apartments, business travellers now have an unprecedented range of choices, all while staying within company travel policies.
Thomas Cook and SOTC president & group head of global business travel Indiver Rastogi said, “Today’s business travellers want more choice, flexibility and transparency. By linking Booking.com’s extensive inventory with our managed corporate tools, we’re delivering exactly that: policy control, price clarity and service support that businesses can trust.”
The offering is designed with the Indian corporate traveller in mind. Key features include transparent pricing with GST-compliant invoices, curated hotel options for SMEs to large enterprises, coverage across 2,500 plus Indian cities, verified traveller reviews, essential business amenities, and integrated policy control for approvals, budgets and credit limits.
Booking.com VP partnerships Mark van der Linden added, “Corporate travellers in India want the same seamless experience they enjoy in personal trips, with the right corporate guardrails. This partnership makes our global accommodation inventory enterprise-ready, combining choice, flexibility and localised support.”
With real-time booking access on desktop and mobile, enterprise-specific rates, loyalty benefits, and future integrations into Thomas Cook’s TravelOne platform, the partnership promises to make corporate travel smoother, safer and smarter than ever.
