JWT acquires controlling stake in Hungama Digital Media Entertainment
13 Jun 2012
New York-based James Walter Thompson (JWT), the world's fourth-largest advertising agency, has acquired a 51 per cent stake in India's leading digital services agency Hungama Digital Services, the digital and promotions marketing division of Hungama Digital Media Entertainment, for an undisclosed sum.
The move comes two months after JWT, a unit of London-based WPP Plc, agreed to acquire a minority stake in Converge Technologies, one of the fastest growing digital agencies in Pakistan.
According to the terms of the Hungama deal, Hungama's activations arm Hungama Promo Marketing will become a part of Hungama Digital Services and will provide an engagement platform linked to online and offline deliveries.
"India is at the cusp of a digital revolution with the advent of 500-plus million consumers getting online in the next 3-4 years. From augmented reality to developing applications for connected devices, Hungama Digital Services has been at the forefront of digital technology," said Neeraj Roy, managing director and CEO of Hungama Digital Media Entertainment.
"With the JWT partnership, we hope to offer integrated digital services to our clients and prepare brands to connect, interact and now transact with their customers, Roy added.
Founded in 1999, Mumbai-based Hungama Digital Media Entertainment is one of South Asia's largest mobile & internet based entertainment company.
Originally launched as a brand promotions website, the company is today India's largest on-demand digital entertainment firm, serving audio, video and imagery to South Asians across the world.
It powers nearly 70 per cent of all mobile digital entertainment content in India, and provides the same to consumers in 33 countries, with more than 145 partners across the world.
JWT is one of the largest advertising agencies in the US, and has clients that include Bloomberg, Cadbury, Diageo, HSBC, Johnson & Johnson, Nestlé, Royal Caribbean Cruise Lines, Royal Dutch Shell Unilever and others.
