After much speculation, a deal by the South Korean advertising agency Cheil Worldwide to buy the independent American agency McKinney is complete.
In a statement, Nack-Hoi Kim, the chief executive for Cheil Worldwide, said the move would help the South Korean agency mark “the next chapter in the company’s transformation into a global network made of the best local ad agencies.” The deal is estimated at $50 million and will make McKinney part of Cheil Americas, though the McKinney name will remain.
“McKinney is one of the best advertising agencies in the world’s largest advertising market,” Mr. Kim said in an e-mail. “Their highly creative, integrated approach is recognized as the most effective in the world.”
Cheil also has offices in Canada, Mexico, Central America and Brazil.
McKinney, based in Durham, N.C., has been independent since 2008 when it bought itself back from Havas, a global advertising holding company. At the time, Brad W. Brinegar, the chairman and chief executive of McKinney, was quoted in a news release as saying, “My hope is that with the move, McKinney’s clients will feel an even greater sense of entrepreneurial commitment to their success.”
In recent years, Cheil, once owned by the Samsung Group, has had its share of changes as it struggled to gain traction in the United States. In 2010, the company renamed its Dallas and New York offices “One Agency” and began a London-based agency of the same name.
via NY TIMES