MUMBAI: In a move that has stunned the advertising and media world, the Publicis Group yesterday declared it would not be bidding for Grey Global advertising group. This in turn means that the only potential bidder for the agency is now Sir Martin Sorell's WPP.

The withdrawal of Publicis follows that of Omnicom.

According to media reports, the shares of the Publicis group rose three per cent to €23.32 after the news hit the market, while that of WPP climbed by 0.6 per cent to £5.21.

In an interview with French daily newspaper Le Figaro, Publicis CEO Maurice Levy cited "strategic" reasons for opting out of the bid for Grey Global. The paper further said that to date, Sorrell has been the only suitor to express an interest. Grey was the best bet for Publicis group because the two companies have strong relationships with consumer products giant Procter & Gamble.

In a media report, Levy admitted that he had wanted to bring Publicis and Grey together for many years. However, he also added that there may be a possibility that he would buy any pieces of Grey that might be sold off in due course. Levy was quoted as saying that it was not necessarily in Publicis' interest to make an offer on the whole of Grey.

In another media report, Levy said that since Publicis' acquisition of Bcom3, Grey was no longer a strategic priority.

As for the last bidder still standing, WPP still faces the same conflict of interest issues that were highlighted at the start of the process because of its close association with Anglo-Dutch FMCG behemoth Unilever, P&G's principal rival.