IPG Divests Digital Agency 'Huge' To A Private Equity Firm

Interpublic Group is partnering with Hero Digital, an already-existing AEA portfolio company, and has sold the digital business Huge to AEA Investors, a top international private investment group. The deal's terms are not being revealed.

Philippe Krakowsky, CEO of Interpublic, said, “We’re pleased for the team at Huge and look forward to seeing the next phase for this storied digital brand as the company continues its evolution under new ownership,” 

IPG global brands include Acxiom, Craft, FCB, FutureBrand, Golin, Initiative, IPG Health, IPG Mediabrands, Jack Morton, KINESSO, MAGNA, McCann, Mediahub, Momentum, MRM, MullenLowe Global, Octagon, R/GA, UM, Weber Shandwick and more. IPG is an S&P 500 company with a total revenue of $10.89 billion in 2023.

According to The Wall Street Journal, the multinational advertising and marketing behemoth Omnicom Group is purportedly negotiating to buy out its competitor, Interpublic Group, in an all-stock transaction. With debt excluded, the IPG might be worth between $13 billion and $14 billion in the acquisition.

If the agreement is completed, Omnicom, the third-largest ad-holding business in the world, and Interpublic, the fourth-largest, will merge. Given the size and extent of the two companies—which hold a diverse range of advertising agencies and media purchasing and planning firms—the proposed merger is anticipated to attract intense regulatory scrutiny. While Omnicom owns well-known agencies like BBDO, TBWA, and Omnicom Media Group, Interpublic's portfolio consists of McCann, Weber Shandwick, and Mediabrands. Interpublic was worth $10.9 billion as of Friday, while Omnicom stood at $20.2 billion.

According to 2023 numbers, the combined company would generate over $20 billion in revenue, making it a strong rival to market leaders WPP and Publicis Groupe, which reported $15 billion and $13 billion in revenue, respectively.