Omnicom seals 10m MGM deal

Omnicom is to take over Manning Gottlieb Media this week after a month of wrangling with rival media giant Carat.

The deal, which is understood to value MGM, with a client list including Eurostar, at 10m, is the first stage in Omnicom’s consolidation of its media businesses across Europe. Omnicom, in talks with MGM since May, will not pay the full price as it already owns 36 per cent of MGM through TBWA Simons Palmer.

This is the second blow Omnicom has inflicted on Carat in a month. At the end of June it emerged that TBWA had terminated its contract to put media buying through the Carat-owned Eurospace group (MW July 3).

However, Eurospace’s largest client in the UK, Nissan, with a spend of 60m, has committed itself to staying with Carat. Miller Brewing says it will also keep its 4m media buying with Carat (MW July 24). It is still unclear what will happen to the Eurospace brand.

Omnicom’s plans to consolidate its media are creating conflict across the network. TBWA handles Nissan above the line, New PHD has Volvo, and DDB holds Volkswagen.

Neither MGM nor Carat would comment.

Latest from Marketing Week

NOT REGISTERED? IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and opinion that will help you do your job better.

Register and receive the best content from the only UK title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work. The more we know about our visitors, the better and more relevant content we can provide for them. And, yes, knowing our audience better helps us find commercial partners too. Don't worry, we won't share your information with other parties, unless you give us permission to do so.

Register now

THE BEST CONTENT

Our award winning editorial team (PPA Digital Brand of the Year) ask the big questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we are your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Having problems?

Contact us on +44 (0)20 7292 3711 or email subscriptions@marketingweek.com

If you are looking for our Jobs site, please click here