WPP share price: Company announces new acquisition in South Africa

on Sep 2, 2014
Updated: Apr 9, 2020
Listen

iNVEZZ.com, Tuesday, September 2: WPP Plc (LON:WPP), the world’s largest advertising agency, has announced that its majority-owned digital company, Aqua, acquired Applogix in South Africa.

As of 08:05 BST, WPP’s share price had added 0.55 percent to 1,275.00p.
**New acquisition in South Africa**
In a statement yesterday, FTSE 100-listed WPP announced the acquisition of Applogix, a marketing and e-commerce technology company in South Africa, by its majority-owned digital agency Aqua.
Applogix provides services, such as web and mobile application build, front end development, e-commerce and user experience design. The company’s clients include MTN, Standard Bank and Shell. The acquisition will allow the agency to access Aqua’s blue chip client base including Multichoice, Ford, MTN, Coca-Cola and Standard Bank.

Are you looking for signals & alerts from pro-traders? Sign-up to Invezz Signals™ for FREE. Takes 2 mins.

Applogix’s unaudited revenues for the year ended February 2014 were ZAR 10.3 million, with gross assets of approximately ZAR 2.8 million as at the same date.
“This investment continues WPP’s strategy of developing its services in fast-growing and important markets and sectors and strengthening its capabilities in digital media,” the company said in its statement.

WPP’s digital revenues were over $6 billion (£3.6 billion) in 2013, accounting for almost 35 percent of the group’s total revenues of $17.3 billion (£10.4 billion). The FTSE 100-listed company is aiming for 40-45 percent of revenue to be derived from its digital business in the next five years.
The deal marks WPP’s latest acquisition in Africa. It has been actively buying assets across the continent, in attempt to expand its business there. The company has been focusing on South Africa in particular, which accounts for the majority of WPP’s African operations. In July, the group revealed that its wholly-owned subsidiary Scangroup Limited had agreed to acquire a majority stake in pan-African experiential marketing group EXP. WPP share price: Ad giant to buy pan-African marketing group

**WPP’s latest acquisitions**
Yesterday’s announcement came a week after WPP revealed the acquisition of US research firm InsightExpress by its wholly-owned operating company, Millward Brown, and that it had agreed to buy Keyade, a leading digital search marketing agency in France. WPP share price: Company announces double acquisition

**Analysts on WPP**
According to the Financial Times, as of August 29, the consensus forecast amongst 47 polled investment analysts covering WPP PLC advises that the company will outperform the market. This has been the consensus forecast since the sentiment of investment analysts improved on October 16, 2009.
The 27 analysts offering 12 month price targets for the group have a median target of 1,470p, with a high estimate of 1,621p and a low estimate of 1,150p.
**As of 08:06 BST, buy WPP shares at 1,276.00p.**
**As of 08:06 BST, sell WPP shares at 1,274.00p.**

Ad

Want easy-to-follow crypto, forex & stock trading signals? Make trading simple by copying our team of pro-traders. Consistent results. Sign-up today at Invezz Signals™.

0/10
Learn more
Africa Media Services Stock Market World