Stagwell (STGW) Acquires ADK GLOBAL, Integrated Marketing Subsidiary of ADK Holdings Inc., Bolstering Growth for the Network Across APAC

Rhea-AI Summary

Stagwell (NASDAQ: STGW) has announced its intent to acquire ADK GLOBAL, a network of overseas subsidiaries of ADK Holdings Inc. The Japan-headquartered integrated marketing solutions firm operates in 10 markets globally. This strategic acquisition expands Stagwell's APAC presence to over 2,000 team members across 14 countries including Australia, China, India, and Japan.

The merger strengthens Stagwell's AI-powered digital marketing solutions and complements its service offerings for clients including LG, Shanghai Disney Resort, Google, Dexcom, and Adidas. The acquisition provides Stagwell with a complete APAC offering spanning media, creative, and PR services for local, regional, and global clients.

This acquisition follows Stagwell's significant expansion in 2024, marking their 11th acquisition of the year, including acquisitions across MENA, Germany, Israel, and other global markets.

Positive

• Expansion increases APAC regional staff to over 2,000 team members across 14 countries
• Adds major clients including LG, Shanghai Disney Resort, Google, Dexcom, and Adidas
• Completes full-service offering in APAC region (media, creative, and PR services)
• Strengthens AI-powered digital marketing solutions portfolio

Negative

• None.

Insights

M&A Analyst

The acquisition of ADK GLOBAL represents a strategic expansion into the APAC market, significantly boosting Stagwell's regional presence to over 2,000 team members across 14 key Asian markets. This move is particularly valuable given ADK GLOBAL's established relationships with major clients like LG, Shanghai Disney Resort, Google, Dexcom and Adidas.

The deal's timing aligns with Stagwell's aggressive acquisition strategy, marking their 12th acquisition in 2024. This consolidation pattern indicates a deliberate push to build a comprehensive global network, particularly in high-growth markets. The integration of ADK GLOBAL's AI-powered solutions complements Stagwell's digital marketing capabilities, potentially creating revenue synergies through cross-selling opportunities and enhanced service offerings.

For investors, this acquisition strengthens Stagwell's competitive position against traditional advertising holding companies, particularly in the lucrative APAC region where digital advertising spending is projected to grow significantly. The retention of current management and account teams suggests a focus on maintaining client relationships while leveraging Stagwell's global infrastructure for expansion.

Digital Marketing Strategist

The integration of ADK GLOBAL into Stagwell's network creates a complete APAC offering spanning media, creative and PR services. This comprehensive capability is important in a region where integrated marketing solutions are increasingly demanded by multinational clients. The emphasis on AI-powered solutions positions Stagwell at the forefront of digital marketing innovation, particularly important as APAC markets lead in digital adoption rates.

The strategic value lies in ADK GLOBAL's expertise in localizing global campaigns while maintaining the ability to scale regionally. This dual capability is essential for serving both local Asian brands looking to expand globally and international brands seeking effective market entry strategies in Asia. The combined AI capabilities of both organizations suggest potential technological synergies that could drive operational efficiencies and enhance campaign effectiveness.

Headquartered in Japan, the leading integrated marketing solutions firm will join Stagwell's growing APAC presence, furthering Stagwell's global expansion

NEW YORK and TOKYO, Jan. 16, 2025 /PRNewswire/ -- Stagwell (NASDAQ: STGW), the challenger network built to transform marketing, today announced the intent to acquire ADK GLOBAL, a network of overseas subsidiaries managed by ADK Holdings Inc. Headquartered in Japan and with offices in 10 markets around the world, ADK GLOBAL delivers integrated marketing solutions based on a deep understanding of local markets, media, and consumers, establishing itself as a trusted partner for local businesses.  

This acquisition comes as Stagwell expands its global footprint and invests further in AI-enabled solutions at the forefront of digital marketing. By bringing ADK GLOBAL into Stagwell, the network's regional staff count rises to over 2,000 team members, spanning agencies and affiliates on the ground in Australia, Bangladesh, China, Hong Kong, India, Indonesia, Japan, Malaysia, Philippines, Singapore, South Korea, Taiwan, Thailand and Vietnam. Stagwell and ADK GLOBAL's complementing suite of AI-powered solutions for digital marketers are set up to help clients, including global and Asian brands such as LG, Shanghai Disney Resort, Google, Dexcom and Adidas, deliver impactful results. Furthermore, with the addition of ADK GLOBAL, Stagwell now has a complete offering in APAC of media, creative, and PR for any local, regional or global client opportunity.

"Our vibrant APAC division and its regional coverage are significantly enhanced by the addition of ADK GLOBAL," shared Mark Penn, Chairman and CEO of Stagwell. "We've been focused on winning local accounts that we can then extend regionally and globally. The ADK GLOBAL team has been pioneers of this strategy and we're looking forward to introducing their clients to opportunities across borders and to our suite of digital solutions for the modern marketer."

"ADK GLOBAL has joined Stagwell to collaborate in overseas business. By leveraging Stagwell's global network, which includes regions in North America, Europe, and Asia, along with their digital-based full services, we will integrate ADK Group's expertise and personnel to develop our overseas marketing business. This will enable us to provide even more optimal solutions to our client companies, primarily focusing on Japanese clients," stated Toshiya Oyama, Representative Director, President & Group CEO of ADK Holdings. "Meanwhile, in the content business, including anime and IP, ADK Group will promote the vision of 'Growing brands and fans,' and aim to further strengthen its overseas operations by enhancing our business structure."

"We will continue to strengthen our collaboration with ADK in Japan while maintaining our current management and account teams to provide our services," said Yasuyuki Katagi, CEO of ADK GLOBAL. "By leveraging the strengths of Stagwell, which operates on a global scale, we will further elevate the quality of our expertise in integrated marketing solutions and contribute to the growth of our clients' businesses."

The addition of ADK GLOBAL follows Stagwell's 11 acquisitions in 2024: Create. Group (MENA), UNICEPTA (Germany), Consulum (MENA), LEADERS (Israel), Business Traveller (Global), BERA (U.S.), Luxine Relations Publiques (Canada), PROS (Brazil), What's Next Partners (France), Sidekick (U.K.) and Team Epiphany (U.S.). 

About Stagwell
Stagwell is the challenger holding company built to transform marketing. We deliver scaled creative performance for the world's most ambitious brands, connecting culture-moving creativity with leading-edge technology to harmonize the art and science of marketing. Led by entrepreneurs, our specialists in 35+ countries are unified under a single purpose: to drive effectiveness and improve business results for our clients. Join us at www.stagwellglobal.com.

About ADK Group
ADK Group is an integrated marketing company led by ADK Holdings, consisting of three business companies: ADK Marketing Solutions, ADK Creative One, and ADK Emotions. It contributes to the results of client businesses across the entire marketing field. The group possesses a uniqueness in developing businesses that are expert in anime and intellectual property (IP). https://www.adk.jp/en/

About ADK GLOBAL
ADK GLOBAL is the collective team for a network of subsidiaries whose primary business is marketing operations outside of Japan for the ADK Group. In 1979, we opened our first overseas office in London. ADK GLOBAL has offices in 10 markets, including mainland China, Taiwan, Hong Kong, Thailand, Vietnam, Singapore, Malaysia, India, Australia, and the United States. We currently have 600 employees providing integrated marketing solutions based on a deep understanding of local markets and consumers to approximately 300 clients. https://adk-globalnetwork.com/

Contacts:
Kara Gelber
Stagwell 
pr@stagwellglobal.com

Noriyoshi Yoshie/ Shohei Goto/ Eri Itoh
Corporate Planning Division, ADK Holdings
adkpr@adk.jp 

ADK GLOBAL
info@adk-globalnetwork.com 

 

 

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SOURCE Stagwell Inc.

FAQ

What is the strategic importance of Stagwell's ADK GLOBAL acquisition for APAC expansion?

The acquisition significantly expands Stagwell's APAC presence to over 2,000 team members across 14 countries, providing a complete offering of media, creative, and PR services in the region.

Which major clients will Stagwell (STGW) gain through the ADK GLOBAL acquisition?

Through the acquisition, Stagwell gains access to major clients including LG, Shanghai Disney Resort, Google, Dexcom, and Adidas.

How many countries will Stagwell's APAC presence cover after the ADK GLOBAL acquisition?

After the acquisition, Stagwell's APAC presence will span 14 countries, including Australia, Bangladesh, China, Hong Kong, India, Indonesia, Japan, Malaysia, Philippines, Singapore, South Korea, Taiwan, Thailand, and Vietnam.

How many acquisitions has Stagwell (STGW) completed in 2024?

ADK GLOBAL marks Stagwell's 11th acquisition in 2024, following acquisitions of companies in MENA, Germany, Israel, and other global markets.

What services will Stagwell (STGW) offer in APAC after acquiring ADK GLOBAL?

Following the acquisition, Stagwell will offer a complete suite of services in APAC, including media, creative, and PR services for local, regional, and global clients.