WPP Group's takeover of Young & Rubicam, New York, is expected to be announced May 12, said executives close to the situation. A number of legal formalities had yet to be resolved earlier in the week, but executives close to both agencies said the takeover was all but a done deal. The acquisition would come in a stock swap currently valued at about $4.5 billion. A WPP/Y&R combination would create the world's largest advertising company, with worldwide revenue of $6.7 billion. Even with a resolution to WPP's courtship of Y&R seemingly near, the latter's stock price was down again May 9, sinking 7.28% to 46-3/16. WPP was down 5.42% to 63-1/4.
Copyright May 2000, Crain Communications Inc.