Advertising shares fall slightly after positive start to the week

LONDON - Media and advertising shares had mixed fortunes today, after a positive start to the week had shown signs of recouping recent losses.

Cordiant, which yesterday reversed its falling share price, had climbed 2.6% in mid afternoon trading in London, while Chime stayed still at 126.5p.



Aegis, the buying group which owns media agency Carat, was down just 0.9% to 80.5p and Incepta, parent of PR firm Citigate Dewe Rogerson, remained static at 35p.



Tempus fell 0.6% to 440p after it announced cost savings of £10m a year and 120 job cuts. WPP, which is expected to announce its takeover of Tempus in the next week, fell 2.3%.



Paris-based Havas, which withdrew its offer for Tempus on Friday, climbed 3.2% today to €7.20 (£4.52), and its Paris counterpart Publicis rose 2.8% to €19.37 (£12.16).



In the US, Interpublic rose 3.2% to $21.78 (£14.85) and Omnicom rose 8% to $64.82 (£44.20).



In the media sector, Carlton, which began to reverse its decline yesterday, fell 6.1% to 168p. Its ITV partner Granada fell 2.7% to 100.25p and rival broadcaster BSkyB slid 2.9% to 582.5p.



Daily Mail & General Trust rose 9.8% to 552.5p despite warning about an 8% drop in second-half display ad revenues, while business publisher United Business Media lost 7.1% to 385.5p.




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Claire Billings, recommends

Cordiant Communications

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