Matthew Freud waves goodbye to Pitch and books six-figure profit

Pitch founder Henry Chappell has bought out the final chunk of Matthew Freud's stake in his agency, 11 years after its launch.

Matthew Freud: backed the launch of Pitch in 2002
Matthew Freud: backed the launch of Pitch in 2002

Chappell founded the sports-focused PR agency in 2002 after leaving his director-level position at Matthew Freud’s agency, which took an approximate 35 per cent stake in the new business.

Freud’s original investment in Pitch, which included other support such as back office resources, is understood to have been worth a five-figure sum.

It is understood Chappell acquired the last five per cent of Pitch from Freud in the first quarter of this year, thus taking full control of the agency.

The biggest chunk of Freud's stake changed hands last year, when Chappell bought 25 per cent of the agency for £500,000.

This generated a profit for Matthew Freud of £320,000, according to the 2012 accounts for Freud Holdings, published at Companies House this week.

Freud’s actual return on the investment is likely to have been much greater because it will include what he received for the remainder plus his share of its profits over the years.

It is understood the whole stake has cost Chappell in the region of a million pounds to acquire.

Last year, Pitch’s fee income grew by 20 per cent to £3.1m and employed 38 staff.

It has climbed to 66th place in PRWeek’s latest Top 150 Consultancies league table, while Freuds retained sixth place.

Freuds is one of the set of agencies PRWeek has identified as being "the breeding grounds" of the PR agency industry in its feature Six Degrees of Separation, which explores the relationships between established and new shops.

Before commenting please read our rules for commenting on articles.

If you see a comment you find offensive, you can flag it as inappropriate. In the top right-hand corner of an individual comment, you will see 'flag as inappropriate'. Clicking this prompts us to review the comment. For further information see our rules for commenting on articles.

comments powered by Disqus

Latest Articles

Labour hires Obama election strategist David Axelrod to fight General Election

Labour hires Obama election strategist David Axelrod to fight General Election

The man who helped Barack Obama win the 2008 and 2012 US presidential elections is to work for Labour along with members of his team.

Sky adds Fever PR to its roster after splitting with Cake

Sky adds Fever PR to its roster after splitting with Cake

Pay-TV giant Sky has added Fever PR to its agency line-up for a wide-ranging brief covering products and services.

Max Clifford trial jury to continue deliberations after Easter break

Max Clifford trial jury to continue deliberations after Easter break

The jury in the trial of celebrity publicist Max Clifford has been sent home for Easter and will reconvene on Tuesday for further deliberations about its verdicts on 11 charges of indecent assault.

Home Office brings in Munro & Forster to campaign against FGM

Home Office brings in Munro & Forster to campaign against FGM

The Home Office has tasked Munro & Forster (M&F) with supporting its campaign to eradicate female genital mutilation (FGM) as part of a wider retained brief.