Sir Martin Sorrell has shunned the advertising market to instead exploit the “significant opportunities” in technology, data and content marketing for the launch of his new venture.
The former WPP boss has wasted little time in getting back in the game after stepping down from his chief executive role only six weeks ago by acquiring Derriston Capital in a reverse takeover of another small listed company.
Sorrell used a similar technique when he acquired Wire & Plastics Products in 1985, eventually turning WPP into one of the biggest marketing groups in the world.
Sorrell is to take 75% control of the company – which has been renamed S4 Capital – and will become executive chairman. He has contributed £40m, with a further £11m coming from institutional and other investors. The firm recently completed a £51m equity fund raise, and has received non-binding letters of support for more than £150m in further funds.
Alongside Sorrell, Sky Bet chairman Paul Roy and former HSBC Investment Bank managing director Rupert Faure Walker have joined as non-executive directors.
S4 Capital said it is already in “preliminary discussions” regarding potential acquisitions.
“S4 Capital is a company that aims to build a multinational communication services business focused on growth. There are significant opportunities for development in technology, data and content. I look forward to making this happen,” Sorrell said.
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