Rosenberg Buyout Signals External Growth
DALLAS--Making a determination to build from without, Point Group chairman David Kniffen has bought a real estate marketing shop here and promises another acquisition within a year.
The Dallas agency owner has purchased Rosenberg Advertising and appointed that shop's principal, 30-year veteran Allan Rosenberg, to an executive vice presidency at Point. Terms of the deal were undisclosed.
Kniffen, an investor who entered the advertising business three years ago when he bought the former Point Communications agency, said the $30 million shop reached a crossroads where "critical mass" growth was more attainable through external means.
"Our business, from where it was a couple of years ago, grew dramatically," Kniffen told Adweek, "so we added to our [growth] strategy by looking to acquire rather than to build functional areas."
The Rosenberg buyout gives Point immediate capabilities in real estate marketing, including a roster with clients such as Centex Homes, Fox & Jacobs Homes, Hunt Valley Development and Terra/Bain Development.
In addition, Point Group gains control of Rosenberg's freestanding graphics studio, Big Design. That unit will remain under the wing of Virginia Stauffer.
Kniffen said his next acquisition will bring about two other goals: a surge to 50-60 employees and a geographic expansion to the West Coast.
In a statement, Rosenberg said his shop had listened to numerous acquisition offers before accepting Point's proposal.