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The Dentsu Group Announces the Establishment of New Promo Tec Subsidiaries in Malaysia and Thailand to Further Expand Its Sales Promotion Network in Asia

Dentsu Inc. (TOKYO:4324) (ISIN:JP3551520004) (President & CEO: Tadashi Ishii; Head Office: Tokyo; Capital: 74,609.81 million yen) announced today the establishment of two new Dentsu Group companies, Promo Tec Synergy Sdn. Bhd. in Malaysia and Promo Tec (Thailand) Co., Ltd. in Thailand. Both companies are subsidiaries of Promo Tec Pte. Ltd., a company established in Singapore in 2011 as a subsidiary of Dentsu Tec Inc. (President & CEO: Hiroaki Hori; Head Office: Tokyo; wholly owned subsidiary of Dentsu Inc.) to meet the increasing sales promotion needs of clients across Asia.

The consumer market is expanding rapidly in Malaysia and Thailand, and high-quality Japanese-style promotional services are in great demand. Recently there has been a rapid increase in enquiries about store development, in-store promotions and events, and it was determined that a specialist company that can provide one-stop services from planning through to implementation is required in both countries.

Promo Tec Pte. Ltd. was established in Singapore in October 2011 to spearhead the Dentsu Group’s sales promotion business in Asia, and the subsequent establishment of Promo Tec subsidiaries in Indonesia and India in March 2012 and a third subsidiary in Vietnam in June of this year has resulted in a steady expansion of business. The two new additions bring the total number of specialist promotional companies in the Asian region to six, and will further boost awareness of the Promo Tec brand name across all the regional markets.

Going forward, Promo Tec Synergy and Promo Tec (Thailand) aim to position themselves at an early stage as leading sales promotion specialists in the same way as the four other companies that are already open for business. They will work in close cooperation with Dentsu Asia, the Dentsu subsidiary which oversees operations in the ASEAN and Oceania region under the umbrella of the Group’s global operating unit Dentsu Aegis Network Ltd., as well as with Aegis Media’s network in Asia. The new companies will provide clients in both Malaysia and Thailand as well as in neighboring countries with fast and effective solutions that address their diverse and expanding sales promotion needs.

The impact of these transactions on Dentsu’s consolidated financial results for the fiscal year ending March 31, 2014 is expected to be minimal.

 

Profile of Promo Tec Synergy

Company Name:   PROMO TEC SYNERGY SDN. BHD.
Location: Kuala Lumpur, Malaysia
Capital: MYR 3,405,000
Shareholding Ratio: Promo Tec Pte. Ltd. 95%, Dentsu Tec Inc. 5%
Date of Establishment: July 2, 2013
Start of Operations: November 1, 2013
President & CEO: Choku Matsukawa
(currently an Executive Officer of Dentsu Tec Inc. and President & CEO of Promo Tec Pte. Ltd.)
Number of Employees: 6 (tentative)
Principal Business: Sales promotions-related services
 

Profile of Promo Tec (Thailand)

Company Name: PROMO TEC (THAILAND) CO., LTD.
Location: Bangkok, Thailand
Capital: THB 4,000,000
Shareholding Ratio: Promo Tec Pte. Ltd. 49%
MHCB Consulting (Thailand) Co., Ltd. 48%
Toyo Business Service Co., Ltd. 3%
Date of Establishment: July 19, 2013
Start of Operations: November 1, 2013
President & CEO: Choku Matsukawa
(currently an Executive Officer of Dentsu Tec Inc. and President & CEO of Promo Tec Pte. Ltd.)
Number of Employees: 10 (tentative)
Principal Business: Sales promotions-related services
 

About the Dentsu Group

Led by Dentsu Inc. (TOKYO:4324) (ISIN:JP3551520004), the world's largest advertising agency brand with a history of 112 years, the Dentsu Group offers a comprehensive range of client-centric communications and media services in 110 countries across five continents. Its Japan-wide network and London-based global operating unit Dentsu Aegis Network Ltd., which oversees the operations of Aegis Media, a leading global media and digital communications specialist, as well as those of the Dentsu Network, which manages all of Dentsu's other global business operations outside Japan, together employ more than 37,000 dedicated professionals. The Group is also active in the production and marketing of sports and entertainment content on a global scale.

Dentsu Inc.: www.dentsu.com
Dentsu Aegis Network Ltd: www.dentsuaegisnetwork.com
Dentsu Network: www.dentsunetwork.com

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