By Ian Walker
LONDON--Advertising giant WPP PLC (WPP.LN) said Thursday it has
reached an agreement with Rentrak Corp. (RENT) to take an interest
in the U.S.-based film and television measurement company through
the injection of Kantar Media's U.S. television-measurement
business.
In exchange for Kantar Media's U.S. television-measurement
business, WPP will get $98 million of Rentrak's common stock. It
will also buy further shares for $56 million, taking its interest
to 16.7%.
As part of the deal, WPP's global media investment management
company, GroupM, will be able to integrate consumer data volumes of
television information using Rentrak's data and technology.
"These agreements continue WPP's strategy of developing its
services in important markets and sectors and strengthening its
capabilities in digital and data investment management businesses,"
WPP said.
WPP's digital revenues were over $6 billion in 2013,
representing 35% of the group's total revenue of $17.3 billion. WPP
has set a target of 40%-45% of revenue to be derived from digital
in the next five years.
The deal with Rentrak is expected to close by the end of the
year.
Write to Ian Walker at ian.walker@wsj.com
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