By Amy-Jo Crowley
LONDON (Reuters) – WPP is considering the sale of its 40% stake in Kantar, a person with knowledge of the situation said, which could be valued at up to $8 billion including debt.
The London-headquartered advertising company is working with an adviser and is considering selling the stake in the market research firm outright or selling it to co-shareholder Bain, the private equity fund, Bloomberg reported Wednesday. Shares in WPP turned higher after the report, rising 1.2%.
A sale could help bolster confidence in WPP shares after the ad group in October cut its outlook for the second time in as many quarters. Shares fell to a three year low on the news.
WPP shares climbed last week after a Sky News report that Kantar Media could be put up for sale and raise 1 billion pounds for its two shareholders.
WPP, Kantar and Bain declined to comment.
(Reporting by Amy-Jo Crowley. Edited by Anousha Sakoui)