FutureSource kicks off dollars 200m shopping spree to build network

NEW YORK: Another start-up company is in the market for PR firms, planning to spend as much as dollars 200 million to build an integrated marketing communications operation.

NEW YORK: Another start-up company is in the market for PR firms, planning to spend as much as dollars 200 million to build an integrated marketing communications operation.

NEW YORK: Another start-up company is in the market for PR firms,

planning to spend as much as dollars 200 million to build an integrated

marketing communications operation.



FutureSource has set up offices in New York and Toronto, and is planning

a series of PR, advertising and market research firm acquisitions. The

company has an equity investment in the new venture of between dollars

50 and dollars 60 million and could combine that with debt to spend

between dollars 100 million and dollars 200 million on acquisitions,

according to Lee Mitchell, a partner with Thoma Cressey Equity Partners,

the Chicago private equity firm bankrolling FutureSource.



The new company is eyeing PR firms with dollars 10 million in revenues

or higher, an area Mitchell called ’the middle market.’ The company is

likely to strike quickly: ’Hopefully, we’ll have an announcement in the

next few months. The company is out looking for partners as we

speak.’



Mitchell preferred to describe any potential acquisitions as ’partners’

because existing managers will be asked to stay on and grow their

businesses under the FutureSource label.



The company has already hired Michel Frappier, a former Canadian

advertising executive, to lead the new venture. Frappier worked for ad

shops J. Walter Thompson and Foster/McCann-Erickson Advertising of

Canada.



FutureSource’s plans are similar to those of Lighthouse Holdings, which

recently spent a reported dollars 65 million to buy Financial Dynamics,

a British strategic communications company (PRWeek, August 9).



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