By World Economic Forum via Wikimedia Commons
Sir Martin Sorrell, the ad guru, is raising his bid for MediaMonks, a Dutch digital agency, by offering the executives of the company with a large amount of equity in S4 Capital, his new business.
More than half (55 percent) of MediaMonks is owned by Bencis, a private equity company, while the rest of the stakes in the company is in the hands of a small group of its employees.
The news comes after a turbulent week which has observed an intense bidding war develop between Sorrell and WPP, his former employer, who are both competing to take over MediaMonks.
The lawyers of WPP informed Sorrell that he could lose up to £20 million in share awards if he continued to pursue the company. They said that he would jeopardize breaching a confidentiality agreement that he signed when he resigned from the FTSE 100 company last April.
The firm said that it had been studying at making a move for MediaMonks since November of 2017 when Sorrell was still serving as the boss of the company, as it said that the rival bid that came from S4 Capital was considered “unlawful.”
However, Sorrell just shrugged off the allegations from WPP. A spokesperson for the boss of S4 Capital said that he, together with his legal team were “very relaxed” regarding the matter.
MediaMonks is a company that specialises in a wide range of digital advertising services. It has worked with various big-name clients which include Lego, Audi, Heineken.
Reportedly, S4 Capital has already raised approximately £1 billion from City investors to fund an acquisition spree to expand the new business.
A spokesperson for Sorrell refused to comment regarding the matter.