Tihama extends JWT-Wunderman merger deadline to 2025-end

Logo of Tihama Advertising and Public Relations Co.

Tihama Advertising and Public Relations Co. announced that partners agreed to extend the deadline for completing the legal ownership transfer and obtaining all necessary regulatory approvals for the merger of Tihama’s associate J. Walter Thompson (JWT) MENA with Wunderman MENA to Dec. 31, 2025.

The company attributed the deadline extension to allow more time to complete the legal ownership transfer and all other required regulatory approvals, according to a statement to Tadawul.

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Any financial impact resulting from the transaction based on assets and liabilities will be recorded upon completion. Any potential impact cannot be reliably estimated at present, the statement added.

The company will duly announce any material developments in this regard.

In June 2021, the advertising firm signed an agreement with WPP plc on the merger of J. Walter Thompson MENA with Wunderman MENA to establish Wunderman Thompson MENA, according to data available on Argaam.

Tihama will hold 25% of Wunderman Thompson MENA after completing the transfer of legal ownership and other required regulatory approvals. Tihama's share in Wunderman Thompson MENA's financial results will be recognized as an associate in the financial statements.

The agreements were subject to the completion of the transfer of legal ownership and all other required regulatory approvals before Dec. 31, 2021. However, the deadline was extended multiple times, the latest of which was today.