Publicis drops Inovasi for 51pc Metro stake in Indonesia

Guillaume Levy-Lambert, Publicis Asia-Pacific chairman, said the network started negotiating with Metro in February 2001 before closing its joint-venture. "We closed Publicis-Inovasi because we and the local shareholders felt we didn't have the critical mass and needed a much stronger set-up to survive."

He said Metro was chosen because it was a well-established and stable business that has been operating since 1972. "It was the experience, people and ethics,

he added.

The acquisition of the ad agency, which has changed its name to Publicis-Metro, also includes Metro's one year-old media agency, Metro Media Independent, which is changing its name to Optimedia, Publicis' media shop. Metro's five-month old marketing services firm, Metro Market Response, will also change its name to Publicis-Dialog.

Levy-Lambert said: "Negotiations were very smooth although it is a big step for independent agencies to decide to join a multinational network.

"But Metro's management liked the respect we had for our other local partners. Publicis' positioning allows for differences and respect for local advertising cultures which is something that appeals to people like Henry Saputra (Metro's managing director)."

Metro's management will remain unchanged, with co-founders and owners Saputra and Hendra Soesanto retaining equity and remaining as managing director and chairman respectively. The only major change is that Publicis is considering hiring an expatriate executive creative director. "We want to further upgrade the agency's creative capability and have someone who has an international perspective,

said Levy-Lambert.Publicis' major international clients - Renault, Nestle, Hewlett-Packard, L'Oreal - are now handled by Publicis-Metro unlike Inovasi which only had L'Oreal.