Sapient To Acquire Nitro Group - An Award-Winning Global Advertising Network
BOSTON – June 17, 2009 – Sapient (NASDAQ: SAPE) today announced that it will acquire Nitro Group, a leading global advertising network that serves major clients such as Mars, ConAgra, Volvo, Nike and Foot Locker. Nitro Group’s network was founded in Shanghai; its global presence now spans four continents.
Nitro Group’s big brand ideas come to life through its breakthrough approach of leading with business strategy and innovation – covering customer communication, content delivery and digital solutions – which make it one of the world’s most innovative and respected agencies.
This acquisition is a reflection of a changing world. Technology has empowered consumers and changed how and when they engage with content. Traditional media and advertising alone no longer have the power to propel brands. This dramatic shift means that brands need intelligent, technology-savvy stewards in a world where all advertising, including television, will be interactive.
“The customer communications industry—which spends almost $500 billion each year on advertising—is experiencing significant turmoil. We expect new leaders will emerge to redefine how brands interact with their target consumers. This acquisition firmly establishes Sapient’s leadership position in this dynamic and fast-growing segment,” said Alan Herrick, president and chief executive officer of Sapient.
Together, Sapient and Nitro Group will leverage their combined capabilities in integrated advertising, digital commerce, marketing technology and social media to help clients create brand experiences that drive unparalleled levels of customer loyalty with sustainable and measurable business results. The newly combined entity will leverage its unique multi-disciplinary teams and innovative approaches to help clients turn consumers into engaged and loyal brand advocates.
“Today, brands suffer from their inability to maximize opportunities because of the fractured nature and technology immaturity of the agencies that support them. Clients want a fully integrated, strategically led and digitally enabled agency,” said Sapient executive director and worldwide creative officer Gaston Legorburu.
Chris Clarke, founder and chief executive officer of Nitro Group, added, “Everyone on the Nitro global leadership team believes that this is a dream partnership for our clients. Sapient/Nitro is where leading-edge technology fuels the solution to clients’ business problems. This partnership combines big creative ideas that capture the imagination of consumers with the digital sophistication to execute and deliver business results. We will use technology to liberate the relationship among business, brands and the people who invest in them. Our company will create a meaningful competitive advantage for our clients by ensuring that their customers become more than loyalists—they become evangelists.”
The acquisition, which is expected to be completed in early July, is subject to certain closing conditions and approvals.
Webcast and Conference Call
Sapient will host a discussion of the Nitro Group acquisition at 8:30 a.m. (EDT) today, which will be broadcast live on the Internet. The dial-in information for the conference call is:
U.S.: (866) 700-7101
International: (617) 213-8837
Please use the following link to access the live webcast of this event as well as an archive of the webcast:
The link to the webcast will also be posted at:
In addition, a re-broadcast of the conference call will be available from June 17 at 11:30 a.m. (EDT) through June 24 at 11:59 p.m. (EDT). The replay information is as follows:
U.S.: (888) 286-8010
International: (617) 801-6888
Safe Harbor Statement
This press release contains forward-looking statements that involve a number of risks and uncertainties. Actual results could differ materially from management’s expectations. A number of factors could cause actual events to differ materially from those indicated, including, without limitation: the anticipated benefits of the Sapient-Nitro Group acquisition; the market size and opportunity within the customer communications industry; the continued acceptance of Sapient’s services and the demand for the services of the combined Sapient-Nitro Group enterprise upon the anticipated completion of the acquisition; a reduction in the demand for Sapient’s services in light of the current economic environment; Sapient’s ability to accurately set fees for and complete its current and future client projects on a timely basis, successfully manage risks associated with its international operations, manage its growth and projects effectively, successfully integrate and achieve anticipated benefits from acquisitions, and continue to attract and retain high-quality employees; and other risk factors set forth in Sapient’s most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q, as filed with the SEC.
About Nitro Group
Nitro Group is a global communications network that spans seven offices around the world. Nitro facilitates measurable business growth for leading clients including Mars, Volvo, Nike, Footlocker and ConAgra through a results-oriented approach that combines communications with business strategy, digital innovation and branded entertainment. Nitro provides these integrated services in a connected way across the globe, clearly differentiating Nitro from the traditional holding companies that are still providing fragmented solutions from disparate businesses. Nitro has been recognized by respected industry observers such as Forbes, The Wall Street Journal and CNN as one of the most innovative and forward thinking agencies in the world. Nitro’s recent “Best Job in the World” campaign for the Queensland Tourist Commission won Best of Show at The One Show. Headquartered in New York, Nitro operates across North America, Europe, Australia and China. For more information, please visit www.nitrogroup.com.
About Sapient Interactive
Sapient Interactive, a division of Sapient (NASDAQ:SAPE), is one of the largest and most innovative interactive marketing and technology services firms in the world. It creates immersive and memorable multi-channel brand experiences that deliver measurable results for clients—including major brands such as Celebrity Cruises, Sony Electronics, Honda Jet and Times Online. One of the only firms to intelligently integrate strategy, creative, advertising, media services, analytics and technology expertise under one roof, Sapient Interactive offers unparalleled experience in emerging channels including social media, mobile devices such as the iPhone, digital in-store displays, self-service kiosks and traditional media. Headquartered in Boston, Sapient Interactive has operations in 20 major cities throughout North America, Europe and Asia.
Sapient, a global services firm, operates two groups—Sapient Interactive and Sapient Consulting—that help clients compete, evolve and grow in an increasingly complex marketplace. Sapient Interactive provides brand and marketing strategy, award-winning creative work, web design and development and emerging media expertise. Sapient Consulting provides business and IT strategy, process and systems design, package implementation and custom development, as well as outsourcing services such as testing, maintenance and support. Sapient’s passion for client success—evidenced by its ability to foster collaboration, drive innovation and solve challenging problems—is the subject of case studies on leadership and organizational behavior used by MBA students at both Harvard and Yale. Leading clients, including BP, Essent Energie, Hilton International, Janus, Sony Electronics and Verizon, rely on the company’s unique approach to drive growth and market momentum. Headquartered in Boston, Sapient operates across North America, Europe and India. For more information, please visit www.sapient.com.
Sapient is a registered service mark of Sapient Corporation.