XM Asia to acquire stake in Indonesia’s Magnivate

Executives were unavailable for comment until the deal is fully finalized.

Founded in 2008 and based in Jakarta, Magnivate's offering includes digital strategy, social media communications strategy, rich media, online advertising, search marketing and e-marketing. The agency employs 95 people and clients include Danone, Frisian Flag, Samsung and Unilever.

Magnivate’s unaudited revenues for the year ended 31 December 2011 were approximately $1.78 million with gross assets at the same date at approximately $778,000.

This investment continues WPP’s strategy of developing its services in fast-growing and important markets and sectors. WPP's businesses in the Asia Pacific region now generate revenues of over $4 billion (including associates) and employ approximately 42,000 people, compared with analysts’ estimates of Group revenues of over $19 billion (including associates) and total employees of over 150,000.

This follows significant activity in Indonesia, including Aegis' partnership with Mediatrac to open Isobar and Posterscope there; Iris partnering with Nava Group; and DDB's establishment of a new full-service agency.