Ipsos weighs binding offer to buy Kantar Media, sources say

Industry:    3 weeks ago

French market research group Ipsos is preparing a binding offer to buy the TV ratings data business from market research group Kantar, two people with knowledge of the matter told Reuters.

Ipsos, with headquarters in Paris and a market value of 1.9 billion euros ($2 billion), is working with advisers as it lines up financing for Kantar Media ahead of a deadline next week, the people said, who spoke on condition of anonymity because the matter is private.

There is no certainty a deal will materialise and other private equity firms such as Cinven are expected to also pursue the sale, the people said.

Spokespeople for Ipsos, Cinven, Kantar and its shareholders WPP and Bain Capital, declined to comment.

Kantar Media could be valued at 1 billion pounds ($1.27 billion) in a deal, one of the people said.

A driver for the potential combination is that Ipsos and Kantar Media have overlapping customers and operations across Europe, the person said. They have a partnership in audience measurement in certain countries such as the Netherlands, according to a company press release.

Kantar Media manages the UK’s TV audience measurement system, known as Barb, and provides audience measurement across broadcast, print and outdoor media in 62 countries.

Ipsos provides consumer market research services, operating in 90 markets and employing nearly 20,000 people. In its half-year report, it had 282.5 million euros of cash and cash equivalents at the end of July.

Kantar Media is a division of Kantar Group, which is jointly owned by Bain Capital and UK advertising group WPP Group. WPP sold a 60% stake in Kantar to Bain in 2019, valuing the company at 3.2 billion pounds at the time.

JPMorgan and Jefferies have been advising the shareholders on the sale of Kantar Media, the people said. JPMorgan declined to comment. Jefferies did not respond to a request for comment.

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