NEW YORK: Edelman is nearing a deal to add Rowland Communications Worldwide to its arsenal, sources told PRWeek last week.
NEW YORK: Edelman is nearing a deal to add Rowland Communications
Worldwide to its arsenal, sources told PRWeek last week.
The news that Edelman was negotiating with Rowland parent Saatchi &
Saatchi was not in itself a surprise, given Edelman’s status as the
biggest global firm not owned by a multinational communications
conglomerate. That Edelman was in discussions as a potential buyer
rather than a seller, however, raised eyebrows within the industry.
’It’s quite an aggressive move, especially with all the talk about
Edelman selling,’ said one source.
Saatchi & Saatchi spokesman Alex Sandberg confirmed that parts of
Rowland were on the block, but refused to identify the likely buyer: ’We
are in talks about the future shape of the company and a realignment of
some of the offices around the world.’
However, S&S is unlikely to completely divest itself of the company and
its holdings. Sandberg said that shared Rowland and S&S clients - like
DuPont, which handed the company an dollars 80 million integrated
account last year - would be retained.
Rowland Communications Worldwide houses two operations: integrated
marketing arm S&S Rowland Communications and PR firm The Rowland
Company. Rowland Communications Worldwide recorded US fee revenue of
dollars 25.7 million in 1999, an increase of nearly 60% over last year’s
total of dollars 16.1 million.
Edelman president and CEO Richard Edelman offered a flat ’no comment’ on
the potential deal.
ROWLAND WORLDWIDE BY THE NUMBERS
Total 1999 worldwide revenue dollars 49,735,000
Total 1999 US revenue dollars 25,664,000
Industrial PR dollars 12,543,000
Consumer products and services dollars 5,834,000
Healthcare/pharmaceutical dollars 3,767,000
Hi-tech/new media dollars 2,946,000
Government/public service dollars 1,000,000
Source: Council of Public Relations Firms