Publicis to buy Microsoft's Razorfish

http://www.theglobeandmail.com/globe-investor/publicis-to-buy-microsofts-razorfish/article1246146/ the transaction is being valued at $530-million (U.S.), expected to be provided in a combination of cash and 6.5 million Publicis Groupe treasury shares. As part of the agreement, Publicis, whose clients include Ford Motor Co., Best Buy Co. and McDonald's Corp., will purchase ad dollars over a five-year term across Microsoft's digital properties.

Razorfish will continue to operate under its brand name and be part of VivaKi, the new Publicis Groupe entity created in June 2008 to reflect independent operations of Digitas, Starcom MediaVest Group, Denuo and ZenithOptimedia. Razorfish's management team, led by CEO Bob Lord, will remain unchanged.

Mr. Levy added that when the transaction is completed, about 25 percent of the company's annual revenue will come from digital communications. The deal is expected to close during the fourth quarter of 2009.