Mosaic Continues Expansion In Central Europe
January 27, 2000
TORONTO, ONTARIO--Mosaic Group Inc. (TSE: MGX), Canada's leading
outsourced marketing services agency, announced today that it has
agreed to acquire IQ Marketing Poland ("IQMP"), a full service
agency that provides marketing and sales solutions to clients in
the fast-growing Central European marketplace. IQMP is expected to
generate $8 million in revenues in 2000.
IQMP is a Warsaw-based outsourced marketing services company that
provides marketing expertise for multinational clients such as
Gillette, Tetley, Braun, Belvedere, and Aiwa. The Central European
economy is expected to grow quickly over the next few years and
the opportunity for marketing services agencies is growing as
large, multinational corporations are seeking entry into the new
markets. IQMP is one of the few providers of marketing services
such as promotional marketing, event marketing and field marketing
to the Polish market. Poland is an emerging market with over 38
million people, with a compounded annual GDP growth rate estimate
of over 4.5% between 1998 and 2001. Poland is also considered a
likely candidate for the next round of expansion in the European
Monetary Union.
"The acquisition of IQMP is a key part of our European strategy.
Mosaic Group has a number of multinational clients who are
penetrating the rapidly growing Central European marketplace.
Poland is a key market for major consumer goods companies who are
spending significantly to establish market share," said Michael
Cottman, Vice Chairman, President and Chief Operating Officer of
Mosaic Group. "We are building a network of marketing and sales
services providers so that we can offer our clients an array of
marketing and sales services in a number of European markets. We
plan to expand IQMP's services to cover Hungary and the Czech
Republic in 2000. With IQMP in the fold, we expect to deliver
over $550 million in revenues in 2000."
"By joining Mosaic we will be able to grow our business quickly
through leveraging Mosaic's existing relationships with a number
of multinational clients as well as draw on Mosaic's excellence in
applying technology to field marketing," said Bob Marchant,
General Director of IQMP.
Mosaic Group Inc., with operations in the United States, Europe
and Canada, provides outsourced marketing services on an
integrated basis to leading corporations serving international
markets. Mosaic combines strategic thinking with leading-edge
technologies to effectively deliver immediate and measurable
results for its clients. Marketing solutions include electronic
marketing, e-commerce, new media services, contract sales,
merchandising, field marketing, direct marketing, database
development and management, product promotion, corporate
communications and sales force training. Mosaic, which has
approximately 71 million shares outstanding, trades on the TSE
under the symbol MGX.
FOR FURTHER INFORMATION PLEASE CONTACT:
Ben W. Kaak
EVP & CFO, Mosaic Group Inc.
(416) 813-4272
kaakb@mosaicgroupinc.com
or
Catherine Linley
Public Relations, Mosaic Group Inc.
(416) 813-4277
www.mosaicgroupinc.com |
