McCann in talks for PMK buy
Praisery may join WorldGroup
"We're still in discussions," said a person close to the negotiations, which, if successful, would further extend the Hollywood reach of McCann parent the Interpublic Group.
The advertising powerhouse already owns talent management firm Industry Entertainment, formerly Addis-Wechsler & Associates, from which Rick Yorn and Julie Silverman Yorn recently negotiated releases to join Michael Ovitz's Artists Management Group.
Interpublic, which serves General Motors, Unilever and Nestle worldwide, is also on record about its desire to get into the domestic television business, having already done so in Canada with a stake in major program producer Alliance Atlantis.
PMK, reportedly a $5-million-a-year business with about 40 employees and a roster of 170 bold-faced names, admits this isn't the first time Madison Avenue has come a-courting.
The William Morris Agency reportedly offered to buy the firm earlier in the decade and turn all of its publicists into agents.
But according to a PMK insider, all previous suitors have stumbled over issues of money and autonomy.
The praisery known as the house that Pat Kingsley built wants lots of both. Indeed, it's hard to imagine its famously assertive publicists being any less bold with an extra layer of management.
"They know how to manage businesses driven by a few charismatic types," said Jim Dougherty, an agency analyst at Prudential. "And there's no question this area fits in with their growth plan."
The analyst also noted that global ad shops, having spent heavily overseas in recent years, now consider the U.S. the best bet for their investment. "Growth prospects are a lot better inside the U.S. than outside the U.S.," he said.
If current discussions prove fruitful, Hollywood-based PMK, which has a thriving New York office as well, would most likely become part of McCann-Erickson WorldGroup, which absorbed 40 companies last year alone.
As the country's fourth-largest ad agency, McCann is the largest of Interpublic's operating units, which also include global shops Ammirati Puris Lintas and Lowe & Partners.
Despite the vagaries of showbiz, Interpublic gets high praise from Wall Street for branching into new areas. Dougherty maintains an "accumulate" or buy rating on its stock, as do most analysts who cover the industry.
