Thursday, July 14, 2011

Publicis Groupe in Talks to Acquire Big Fuel

http://adage.com/article/agency-news/publicis-groupe-talks-acquire-big-fuel/228698/
Publicis Groupe's Vivaki unit is in advanced talks to acquire Big Fuel, a New York-based social-media agency, Ad Age has learned.

Big Fuel, which bills itself as a "pure-play social-media agency designed for the needs of large brands," shares a number of clients with Publicis Groupe. Among them are General Motors, McDonald's, Microsoft and T-Mobile, which just tapped Big Fuel to serve as its first social-media agency of record earlier this week. GM has been a transformative client for Big Fuel; new assignments from the automaker have forced the agency to increase headcount substantially in the last six months, according to two people briefed on the company.

Big Fuel CEO Jon Bond and a Vivaki spokeswoman did not respond to requests for comment by press time.

Big Fuel was born in 2008, when TV producer Avi Savar renamed his existing broadcast production agency. Then focused on branded content, the agency has since evolved to handle social media for marketers.
The deal -- which people familiar with the situation say is in the advanced stages and could see a contract agreement materialize within a week -- comes as the third-largest agency holding company has expanded its budget for acquisitions, with a focus on digital companies and growing its footprint in China and other emerging markets.