Publicis Groupe Acquires The Creative Factory, Strengthening Saatchi & Saatchi in Russia

PARIS, January 25, 2012 /PRNewswire/ --

Publicis Groupe (EURONEXT Paris: FR0000130577) announced today its acquisition of 100% of The Creative Factory (TCF), a marketing and advertising agency in Moscow with a strong track record in specialty areas such as trade and shopper marketing, PR and event management, digital and digital production, and video production. TCF will be fully integrated into Saatchi & Saatchi Russia.

Founded in 2001, TCF and its 48 communication professionals work across standard mass media and innovative sectors -- offering clients such as Burger King, IKEA, JTI (tobacco), John Deere, Nike, Rehau (plastics), Tele2 (telecommunications) and UNIQLO true "through-the-line" solutions. This offering is highly complementary to Saatchi & Saatchi Russia's strength in traditional media and its work for clients such as The Coca-Cola Company, Dixy, Emirates Airlines, Friesland Campina, JTI, Kraft Foods, Procter & Gamble, Novartis Pharmaceuticals and Twinings Tea. In the last three years its revenue has grown by over 30%.

TCF's founders, Alex Shifrin and Sam Rothman, will stay on with Saatchi & Saatchi as Managing Directors and will report to Shannon Cullum, Saatchi & Saatchi Russia's CEO.

The acquisition of TCF highlights Publicis Groupe's commitment to the Russian market and its confidence in the continued expansion of advertising and marketing in the Eastern European region. In its December 2011 forecast ZenithOptimedia predicted that adspend in Central and Eastern Europe would grow 9.6% per year through 2015. "We firmly believe that Russia will continue to deliver powerful growth for our clients," said Maurice Lévy, Chairman and CEO of Publicis Groupe. "Russia was the world's eleventh largest advertising market in 2011; in 2013 it will be the tenth, and by 2014 we expect it to upgrade to the ninth place. Our clients deserve the most ingenious and compelling campaigns that can be devised, and this acquisition will strengthen our ability to deliver them."  

"It's no secret that the global marketing landscape is changing dramatically, and Russia is changing faster than most," said Robert Senior, Saatchi & Saatchi CEO for EMEA. "We need to offer our clients the unreasonable power of creativity in all its forms, which means continuing to move out of traditional thinking and traditional media, and more and more into areas where The Creative Factory excels."

"We've seen from our recent success in Russia how boundless the opportunity is here," added Shannon Cullum, CEO Saatchi & Saatchi Russia. "The demand is there, and growing. The challenge is finding the resources and talent to meet this demand. Adding TCF to our offering in Russia is about talent, above all -- acquiring top talent in areas new to Saatchi, such as events and content development, and adding two very experienced leaders to our management team."

"We've done a lot in the last decade to develop and deliver Russia-specific know-how in non-traditional advertising," explained TCF CEO Alex Shifrin. "The opportunity to apply this to Saatchi & Saatchi's philosophy and network of clients is an exciting one for the whole team."

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About Publicis Groupe

Publicis Groupe [Euronext Paris FR0000130577, part of the CAC 40 index] is the third largest communications group in the world, offering the full range of services and skills: digital and traditional advertising, public affairs and events, media buying and specialized communication. Its major networks are Leo Burnett, MSLGROUP, PHCG (Publicis Healthcare Communications Group), Publicis Worldwide, Rosetta and Saatchi & Saatchi. VivaKi, the Groupe's media and digital accelerator, includes Digitas, Razorfish, Starcom MediaVest Group and ZenithOptimedia. Present in 104 countries, the Groupe employs 50,000 professionals.

Web: http://www.publicisgroupe.com  | Twitter:@PublicisGroupe  | Facebook:http://www.facebook.com/publicisgroupe

About Saatchi & Saatchi

Part of the Publicis Groupe, the 3rd largest communications holding company,Saatchi & Saatchi's Network clients include Deutsche Telekom/T-Mobile,General Mills, Kraft Foods/Cadbury, Mead Johnson, Novartis, Procter & Gamble, Sony Ericsson, Toyota and VISA Europe. With 140 offices and over 6000 employees, Saatchi & Saatchi is known for its outstanding creative ideas that generate powerful emotional connections between consumers and products. This is a key element in Lovemarks, Saatchi & Saatchi's unique methodology for elevating the status of brands by creating 'loyalty beyond reason' and 'inspirational consumers'. Saatchi & Saatchi is 'The Lovemarks Company'. http://www.saatchi.com.

About TCF

TCF (The Creative Factory) is one of Moscow's established strategic and creative boutiques, operating in Russia for over a decade.  Working in Russia and internationally with brands including Nike, UNIQLO, IKEA, LD, Tele2 and John Deere, TCF specializes in creating unique TTL solutions across a full spectrum of channels. In addition to traditional agency planning and management services, TCF maintains a strong production and post-production capability in digital, video and multimedia spheres as well as dedicated online PR and event execution resources. TCF's approach is media neutral, and focuses on deliverables that ensure the best brand and consumer interaction possible. http://www.tcfactory.com.

Contacts

Publicis Groupe

Martine Hue, Investor Relations, +33-(0)1-44-43-65-00,
Peggy Nahmany, Corporate Communication, +33-(0)1-44-43-72-83

Saatchi & Saatchi EMEA

Isobel Kerr-Newell, Communications Director, EMEA, +44-20-7462-7073

Saatchi & Saatchi Russia

Kristina Vorobyeva, PR Director, +7-495-663-8777 ext 161

SOURCE Publicis Groupe