You are here: Home » Companies » News
Business Standard

Sandeep Goyal's Mogae Media acquires oldest ad agency Rediffusion

Rediffusion partners Arun Nanda and Ajit Balakrishnan, who held 50 per cent each, have decided to step back from day-to-day operations of the agency

Topics
Sandeep Goyal | Advertising industry | Ajit Balakrishnan

Viveat Susan Pinto  |  Mumbai 

Sandeep Goyal, Co-founder, Mogae Media
Sandeep Goyal, Co-founder, Mogae Media

Curtains will come down on one of the country’s oldest advertising agencies, Rediffusion, following its acquisition by adman Sandeep Goyal’s Mogae Media.

Rediffusion partners Arun Nanda and Ajit Balakrishnan, who held 50 per cent each, have decided to step back from day-to-day operations of the agency.

Nanda, who founded Rediffusion along with Balakrishnan and Mohammed Khan in 1973, will remain chairman of Rediffusion. Goyal will take over as MD.

Rediffusion will be part of the Mogae Media group, people in the know told Business Standard.

Goyal was not available for comment when contacted. He was president of Rediffusion between 1997 and 2001. A formal announcement of the acquisition is likely on Monday.

The end of the road for Rediffusion comes nearly three years after Nanda and Balakrishnan acquired the combined 40 per cent stake of WPP agency Y&R (26.67 per cent) and Dentsu (13.33 per cent) in the agency. Before the transaction, the agency was branded as Rediffusion-Y&R.

The deal had also seen WPP exit joint ventures it had in other areas with Rediffusion, including direct marketing and health care advertising, respectively.

Nanda had then told Business Standard that the divorce with WPP, a long-time partner, would allow it to focus on areas such as digital and usher in a new chapter in its over four-decade-long journey. However, Rediffusion's exit now from the Indian advertising scene will mean that there will be one legacy brand less within the sector.

Some of Rediffusion's iconic campaigns include 'Give me red' for Eveready, 'The Zing Thing' for Gold Spot and 'Is it bad to look good' for Lakme. The agency also launched the brand Airtel in 1995.

Rediffusion works with Tata Sons, Parle, Tata Trusts, Tata Motors, State Bank of India, Liebherr, Larsen & Toubro, Brookfield, Orra and Dr. Reddy's Laboratories, among others. These clients will now be part of Mogae Media’s roster.

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Mon, May 03 2021. 00:44 IST
RECOMMENDED FOR YOU
.