It looks as though London indie agency Lucky Generals is, indeed, plotting something with Omnicom’s TBWA but, according to Campaign, it’s likely to be a challenger network along the lines of TBWA’s 180, which has outposts in Amsterdam and Los Angeles.
On the face of it looks as though the Generals (below) are rushing their fences somewhat as the agency is still relatively small, reporting net profits of £52K in 2014 and £128K in 2015. 2016, with numerous new business wins coming on board, will be significantly better but, on the usual multiples, the agency is unlikely to be worth more than £3m. However an eventual earn-out based on a broader range of international business may be attractive.
The obvious thing for TBWA owner Omnicom to do would be to parachute the Generals into TBWA London although that has revived recently, with high profile work for Lidl to add to its Apple and Nissan mainstays. But Omnicom has an appetite for new networks these days: big new media agency Hearts & Science has opened in London and new McDonald’s US creative agency We Are Unlimited may also try London if there’s any encouragement from McD.
Adam&eve, which now runs Omnicom’s DDB in London, may also become a network in its own right. It’s currently setting up an office in New York to handle a slice of Samsung in North America.