WPP Plc, the largest global media and communications company, has acquired majority stake in RC&M, one of India’s largest rural communications and marketing services providers.

WPP told the London Stock Exchange that its wholly-owned operating company, Grey, the advertising network of Grey Group, has agreed to acquire a majority stake in RC&M.

RC&M is a pioneer in experiential marketing in India, delivering integrated activation solutions, encompassing creative designing to production and implementation. With a reach across 400,000 Indian villages and 5,000 towns, the company is a leader in the organised rural/semi-urban activation market. Founded in 1990, RC&M is headquartered in Delhi, with offices in Mumbai and Bangalore.

RC&M’s unaudited revenues for the year ending March 31, 2013, were approximately Rs 36 crore. The company employs more than 320 people and services clients in the automotive, industrial automation, FMCG and durables sectors.

In India, WPP companies, including associates, such as Grey Group, O&M, JWT, GroupM, The Kantar Group, Bates India and RediffD&Y generate revenues of $500 million and employ almost 13,000 people. In the Asia-Pacific region, WPP companies (including associates) generate revenues of $5 billion and employ more than 47,000 people. WPP recently raised its targets from 35-40 per cent for each of the fast-growth markets and new media to at least 40-45 per cent over the next five years.

RC&M is WPP’s 12th acquisition in India in the last nine years. In 2007, it had picked up 75 per cent in Indian online media agency Quasar and in 2005 it took over advertising agency Enterprise Nexus.

>jayanta.mallick@thehindu.co.in

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