Japan’s Dentsu, enigmatic as ever, nonetheless seems to have got itself into a right muddle: losing key execs, notably International boss Wendy Clark and then deciding to sell the international business – and then not (maybe.)
Now president and global CEO Hiroshi Igarashi (left) is on his way to be replaced by Japan head Takeshi Sano as the company reports a decline in 2025 organic growth and a whopping great loss ($2bn mostly writedowns) on its international operations. Hardly likely to entice a buyer among the limited number of possible purchasers who, themselves, may be fearful of the depredations of AI.
Dentsu is still highly profitable and growing in Japan but seems entirely unable to make its operations outside the homeland work despite employing a fair number of talented individuals over the years and buying what seemed like good businesses in Carat (via Aegis) and performance agency Merkle. There could be some bargains there for a brave bidder.
Update
Dentsu says: “After careful consideration, at this time, we have decided not to pursue a comprehensive partnership for the international business that would rely fully on an external partner. Instead, we will accelerate and drive the transformation and growth of our global business while rebuilding our international business with urgency and pace. We will continue to invest in the international business, including key markets, capabilities, and expertise that support our clients’ growth and transformation for the future of AI.”
