Two titans of the marketing and communications industry are poised to reshape the landscape of global advertising. A landmark merger agreement between Omnicom and The Interpublic Group of Companies represents a transformative moment that promises to redefine how brands connect with consumers in an increasingly digital world.
The stock-for-stock transaction, unanimously approved by both companies’ Boards of Directors, will establish an unprecedented powerhouse in the marketing sector, bringing together over 100,000 practitioners across media, precision marketing, CRM, data analytics, digital commerce, healthcare, public relations, and branding services.
Under the terms of the agreement, Interpublic shareholders will receive 0.344 Omnicom shares for each share of Interpublic common stock, resulting in Omnicom shareholders holding 60.6% of the combined entity, with Interpublic shareholders owning the remaining 39.4%. The merger is expected to yield substantial annual cost synergies of £750 million.
John Wren, Chairman & CEO of Omnicom, who will retain his position in the combined company, emphasises the strategic significance of the acquisition: “This strategic acquisition creates significant value for both sets of shareholders by combining world-class, highly complementary data and technology platforms enabling new offerings to better serve our clients and drive growth.”
The unified organisation will operate under the Omnicom name and maintain its listing on the New York Stock Exchange under the OMC ticker symbol. The leadership structure reflects a thoughtful integration of both companies’ expertise, with Philippe Krakowsky and Daryl Simm serving as Co-Presidents and COOs. Phil Angelastro will continue as EVP & CFO, while three current Interpublic Board members, including Krakowsky, will join the Omnicom Board of Directors.
Philippe Krakowsky, Interpublic’s CEO, highlights the cultural alignment between the organisations: “Our two companies have highly complementary offerings, geographic presence and cultures. We also share a foundational belief in the power of ideas, enabled by technology and data.”
The combined entity’s financial profile presents compelling metrics, with projected 2023 revenue of £25.6 billion, Adjusted EBITA of £3.9 billion, and free cash flow of £3.3 billion. The geographic revenue distribution shows a balanced portfolio, with 57% generated in the United States and 43% from international markets.
This strategic consolidation arrives at a pivotal moment in the evolution of marketing services, as artificial intelligence, data analytics, and digital transformation reshape client expectations and consumer behaviour. The merger positions the new entity to deliver enhanced value through comprehensive full-funnel solutions and advanced identity solutions that provide deeper insights into consumer behaviours and transactions.
The transaction, expected to close in the second half of 2025, remains subject to shareholder approvals from both companies, regulatory clearances, and customary closing conditions. Both organisations will maintain their current quarterly dividend schedules through the closing period.
This strategic union signals a new chapter in marketing services, where data-driven creativity and technological innovation converge to deliver measurable business outcomes for the world’s most sophisticated clients. As the industry continues to evolve, this merger positions the combined entity at the forefront of marketing innovation and client service excellence.
