WPP and Providence Purchase Chime Communications for £374m

WPP, the world’s largest advertising group, has partnered with U.S. buyout firm Providence Equity Partners to acquire marketing services company Chime Communications in a £374 million ($584 million) deal.

The deal will see WPP, owned by Sir Martin Sorrell (pictured), look to expand further into the sports marketing industry.

Lord Davies, chairman of Chime, said the company needed “significant new capital” in order to grow and to enhance its global sports marketing business.

Davies said: “Chime has achieved great success to date in building a leading position in the global sports marketing and communications industry, which is reflected in the attractive premium being offered to shareholders.

“However, to fulfil Chime’s considerable growth potential, significant new capital is required.

“Providence and WPP offer Chime both the capital and the industry expertise to fast-track our ambitions to build a full-scale, global sports marketing and communications business.”

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