Reports suggest Dentsu’s plans to exit overseas markets may have hit a snag

Despite months of speculation within the advertising and marketing community about Dentsu’s plans to divest and monetise its overseas operations, recent media reports suggest the Japanese holding company’s sale strategy has stalled. Interest from both strategic buyers and financial investors has reportedly failed to materialize into a completed transaction.

According to market sources, Dentsu had been exploring options to sell its London-based international arm, which generated over $4.5 billion in net revenue in 2024. Initial discussions reportedly involved several global advertising networks as well as multiple private equity firms. However, those talks appear to have faltered. Trade suitors exited the process, and US-based private equity firm Apollo is said to have withdrawn from discussions last year, according to three individuals familiar with the negotiations, leaving Bain Capital as the only remaining contender.

The report further claims that people close to Dentsu’s senior leadership said President Hiroshi Igarashi briefed the board that Bain is not expected to move forward, effectively pausing the sale.

Dentsu, however, has issued a statement denying these developments:"There have been some reports regarding our overseas business, but this has not been announced by our company. Our top priority is to rebuild our overseas business, and we are steadily working to do so by restructuring our management base and reviewing underperforming units. At the same time, we are considering all options, including comprehensive and strategic partnerships, to support our clients’ growth and enhance corporate value. If any facts requiring disclosure arise in the future, we will make a prompt announcement."

Media reports have also noted that Dentsu has appointed Mitsubishi UFJ Morgan Stanley and Nomura Securities to gauge broader investor interest in its global media and creative portfolio.