European company LeadMedia Group has bought 100% of Brazilian performance marketing agency Media Factory, a subsidiary of Venture Capital Ideiasnet, for R$8.9 million. The share was bought from Ideiasnet (an open capital venture capital company that operates on the technology market). According to LeadMedia's CEO Stephane Darracq, the acquisition will enable the agency to expand its operations and provide digital marketing services on a global scale. The company will have 100 employees in Paris, Sao Paulo and Los Angeles and post estimated revenue of over US$25 million in 2011. 'We are very pleased about entering the Brazilian and Latin American markets and have drawn-up an ambitious business plan with Media Factory,' Darracq remarked.
The companies will retain their respective brands in the countries where they operate. According to Leandro Kenski, Media Factory's CEO, the agency plans to act on two fronts over the next years: the first is to consolidate Media Factory's operations in Latin America, namely in Mexico, Chile and Argentina; and the second is to increase cross selling by expanding their services in the global market by bringing in new businesses and innovation projects to Brazil. Kenski will remain as Media Factory's CEO after the acquisition.
In 2010 Media Factory is expected to post R$12 million – 200% more than in 2009.