Montreal’s Sid Lee acquired by Kyu
Montreal-based creative services firm Sid Lee has been acquired by a Japanese company in a deal intended to expand its footprint in Asia.
Sid Lee said Monday that it has been acquired by Kyu, a unit of Japan’s HakuhodoDY Holdings. Financial terms of the transaction were not disclosed.
Sid Lee, whose clients include Cirque du Soleil, Absolut Vodka, Facebook, Intel, Red Bull and Adidas, will retain its name, Montreal headquarters, and senior management. It will work alongside three other agencies currently held within Hakuhodo’s Kyu “collective,” according to the announcement on Monday.
The deal will help the Can- adian firm grow globally, especially in Asia, said Bertrand Cesvet, executive chairman of Sid Lee.
“It’s not about us becoming something else. It’s about giving us an opportunity to grow,” he said. “It is a match made in heaven.”
“The agency and its work are recognized throughout our industry for originality and foresightedness as well as for its cultural relevance — all of which make it a wonderful fit for our group,” said Michael Birkin, chief executive of Kyu.
Founded in Montreal in 1993 as Diesel, the Canadian firm later changed its name to the acronym “Sid Lee” to avoid confusion with a clothing brand.
Sid Lee has 550 employees at five offices in Amsterdam, Montreal, New York, Paris and Toronto. Sid Lee said that joining Kyu will result in more jobs for employees in Montreal and Toronto, “since our two largest offices will act as creative and production hubs to help further expand Sid Lee in the rest of the world.”
Launched as a design firm, Sid Lee now offers a range of services, including branding, marketing, advertising and analytics. It also has a production arm called Jimmy Lee and a 49 per cent stake in an architectural firm, Sid Lee Architecture.
Cirque du Soleil took an equity stake in Sid Lee about 15 years ago. Sid Lee said Cirque will remain a client.