Staff
Jan 21, 2021

Dentsu reportedly looking to sell Tokyo HQ

A sale could yield close to US$3 billion and be one of Japan's biggest real estate transactions ever, according to published reports

(Shutterstock)
(Shutterstock)

According to Japan-based media reports this morning, Dentsu is considering selling its Tokyo headquarters.

Nikkei Asia reported that the potential deal could be worth around 300 billion yen (US$2.9 billion), which would make it one of the largest property sales ever in Japan. Japan Times, citing unnamed sources, reported that the company has already found candidate buyers.

Campaign Asia-Pacific has reached out to Dentsu for confirmation and comment.

Built in 2002, the 48-floor building in the waterfront Shiodome district of Tokyo's Minato ward has housed as many as 9,000 Dentsu employees, but only a fraction of those are currently commuting to work. 

In November, Dentsu posted weak numbers for the third quarter of its financial year, reporting a 14.2% year-over-year decline in revenue and a 24.4% YOY drop in operating profit. That made Dentsu the worst performing of the big ad networks for that quarter.

In December, Dentsu warned that it would be reporting an annual loss for the second year in a row and said its international arm would be cutting up to 6,000 jobs around the world. Dentsu International will run up a US$850 million cost, including $545 million in 2020 and the remainder in 2021, as part of that restructuring.

Dentsu International, which in the middle of last year recruited Wendy Clark from DDB to be its chief executive, is also aiming to slash the number of agency brands it operates from more than 160 to six global leadership brands within two years.

In January Dentsu confirmed that its performance-marketing network iProspect would swallow up Vizeum.

(This article first appeared on CampaignAsia.com)
Source:
Campaign India

Related Articles

Just Published

1 day ago

No internet, no problem: AI dials up Bharat

Centerfruit’s tongue-twisting Voice AI campaign proves rural India doesn’t need screens to engage—just smart tech with local soul.

1 day ago

Magna forecasts a 7.7% increase in India’s adex for ...

With no elections or cricket highs, India’s INR 1371 billion adex proves that digital muscle, data depth, and media shifts are driving real momentum.

1 day ago

WPP global comms boss Chris Wade steps down

Former Ogilvy UK CEO Michael Frohlich will replace Wade, who leaves the holding company after 13 years.

1 day ago

Cookies crumble, privacy prevails: Marketing’s new ...

The era of lazy personalisation is over. Epsilon senior vice president for analytics believes that marketers must now trade third-party tracking for first-party trust, clean data, and cultural transparency—or risk fading into irrelevance.