Publicis Groupe is reportedly considering weighing in with a bid for a controlling stake in Samsung’s agency business Cheil Worldwide.
A source told BloombergBusiness that the French network is considering tendering an offer for a 30% stake in the Samsung Group’s advertising agency, which has a market value of $1.9bn.
It is said that Publicis would structure the deal so that Cheil Worldwide, 25% of which is owned by Samsung Electronics and Samsung C&T Corp, would continue to handle advertising for Samsung Group.
However, discussions are said to be at an early stage, with the chance that Publicis might decide not to make an offer.
Publicis Groupe has endured a tough few months on the new business front, losing Procter & Gamble’s media business in North America, as well as media planning and buying for L’Oreal SA in North America.
Publicis and Samsung Group representatives declined to comment, while a Cheil Worldwide spokeswoman said that she’s not aware of the issue.