Japan ad agency Hakuhodo DY to take over Taiwan's Growww Media
TAIPEI, NNA - Major Japanese advertising and marketing firm Hakuhodo DY Holdings Inc. will make major Taiwan ad agency Growww Media Co. its subsidiary through a takeover designed to bolster its business in the territory.
Hakuhodo DY will inject a maximum of some $1.85 billion New Taiwan dollars ($60 million) through its subsidiary to acquire a stake of 50 to 78.81 percent in Growww Media between Feb. 26 and April 15. Then the firm will offer cash consideration for the remaining stake to fully acquire the Taiwanese firm, according to a Hakuhodo DY statement released on Tuesday.
To fund the takeover, the Tokyo-based ad agency will pump around NT$7.5 billion in capital increases into its three existing subsidiaries in Taiwan in early April.
Hakuhodo DY aims at combining its marketing solutions with Growww Media's strong customer base in Taiwan to lead the local market, the statement said.
The company also hopes the move will allow Hakuhodo DY to make Taiwan, where the ad agency offers marketing support for Japanese companies, the base for its business expansion in the Asian region, according to the company. (NNA/Kyodo)