Havas targets UK acquisitions to boost growth

by John Reynolds, Media Week 11-Mar-08, 12:37

LONDON - Havas is targeting growth in the UK through acquisitions as a key priority, after unveiling results for last year that showed UK growth lagged behind the rest of Europe.

The group reported UK organic revenue growth was up 2.9 per cent from 2006, behind France, which grew by 5.5 per cent during 2007, and the rest of continental Europe, where growth last year was up 12.4 per cent.

The French-owned group said it is aiming to grow market share in the UK, the US, France and Spain through acquisitions and partnerships.

The company's Havas Media arm, which owns media agency MPG, reported organic growth of 19.1 per cent last year, ahead of its two other operating divisions, creative arms Euro RSCG Worldwide and Arnold Worldwide Partners, which grew by 5.4 per cent and 4.8 per cent respectively.

The group, which has long held an interest in acquiring UK marketing services group Aegis, reported operating income of E168m (£129m) for the year, up 39 per cent from E121m (£93m) in 2006.

Its new business growth over the year was E1.5bn (£1.15bn) and has just benefited from MPG winning the £20m Nationwide Building Society account.