U.S. Alliance Data Systems Corp., a loyalty and marketing services provider, has agreed to sell its digital marketing unit, Epsilon, to French advertising and public relations company Publicis Groupe.
Under the deal, Publicis Groupe will acquire Epsilon for a cash consideration of $4.4 billion, representing a net purchase price of $3.95 billion after deducting the benefit of acquisition-related tax step-up.
This transaction will accelerate the implementation of Publicis’ strategy to become the preferred transformation partner for its clients.
Additionally, Epsilon will propel Publicis as a leader of data-driven personalized experiences at scale. The acquisition, expected to close in the third quarter of 2019, remains subject to customary approvals.