SINGAPORE – Global advertising and communications agency Havas said on Nov 30 that it has bought a controlling stake in Singapore strategic communications consultancy Klareco Communications for an undisclosed sum.

Klareco will join H/Advisors, Havas’ global strategic communications advisory arm, which is made up of a network of corporate and financial communications consultancies from across the world.

Headquartered in Singapore, Klareco is co-founded by Ms Ang Shih-Huei and Mr Mark Worthington. It also has offices in Malaysia and Indonesia, with clients consisting mostly of global multinational corporations and large companies headquartered in Asia.

The deal marks Havas’ first investment in a company with a presence in South-east Asia under H/Advisors, Mr Stephane Fouks, Havas’ vice-president and H/Advisors’ executive chairman, told The Business Times.

As part of its larger growth strategy, H/Advisors is looking to strengthen its offerings in the region and use Singapore as a key base in South-east Asia, he said.

“In today’s world, we have to adapt and understand the local rules for strategy, marketing and crisis communications; to know the local media and key stakeholders. You can’t do these things if you don’t have strong local players playing with you,” said Mr Fouks.

Klareco’s areas of specialities include corporate and financial communications, investor relations, as well as crisis and emergency advisory and activation.

Some of its past and current clients include unicorns such as Tokopedia, Traveloka and Lazada; it has also advised on major corporate transactions including the privatisation of Singapore Press Holdings and Sembcorp Marine’s merger with Keppel Offshore & Marine.

The company – which was previously known as Bell Pottinger Asia – rebranded as Klareco in 2017 after formally separating from its London-based parent Bell Pottinger, which went into administration following a scandal over its involvement in a racially divisive campaign in South Africa.

The partnership with Klareco is also Havas’ fifth acquisition of a controlling stake in the last three years to develop its H/Advisors arm.

Earlier this year, the group acquired Australian Public Affairs – a public affairs agency from Australia – and Cunha Vaz & Associados, a public relations and communications consultancy from Portugal. H/Advisors also opened an office in Dubai in partnership with Havas Middle East.

The group has spent more than €100 million (S$146.2 million) on its investments in the last three years, said Mr Fouks, without disclosing the breakdown. He added that there was a possibility of Havas buying over Klareco’s remaining shares in the future.

Besides its H/Advisors arm, Havas – which is under the French Vivendi group – has three main business units: creative, media, and healthcare and wellness.

Both Ms Ang and Mr Worthington will join H/Advisors’ Asia board to help direct and lead the expansion of the business unit in Asia-Pacific. Klareco will also be renamed as H/Advisors Klareco.

Both co-founders said the partnership will allow Klareco and Havas to play to each other’s strengths.