Some points made in the articles about GGT in Marketing Week (September 27) are inaccurate. For the purposes of clarification therefore can I make the following points:
The BDDP deal was not hastily concluded. Negotiations and discussions have taken place over a period of six months and the suspension of GGT shares is a Stock Market requirement for a deal of this size and construction.
It is true that a significant proportion (approximately 24 per cent) of the enlarged share capital of GGT will be owned by some 50 French shareholders, so: a No one shareholder will have more than approximately four per cent of the enlarged group. b Walter Butler, who will be welcomed on our board as non-executive vice-chairman, will have less than one per cent. c In combination, the management will have just over two per cent.
All these shareholders will join our existing share register alongside other British and International institutions who support this share issue. For your information, GGT’s current shareholders comprise, among others, Phillips & Drew (18.5 per cent) and Schroders (13 per cent).
BDDP also has a number of international network clients, including Tag Heuer, Bristol-Myers, Hertz.
I made no claim that GSD&M’s media buying assignment for Mastercard in the US would in any way play a part or influence the current pitch list of the Mastercard European business. To do so would be presumptuous and misleading.
Discussions between Financial Dynamics and BDDP management concern an incentive programme for the key management of Financial Dynamics, which we are fully aware of and I believe should remain confidential between those concerned. Such incentive schemes are not unusual in our business.
The GGT Group
What has Walter Butler done with the rest of his shares, or share proxies? – Editor