Tokyo, February 9, 2024 --- D.A.Consortium Inc. (DAC) is pleased to announce that it will merge with Irep Inc. (Irep) and establish a new company on April 1, 2024, in accordance with the new fiscal 2024 medium-term management plan of Hakuhodo DY Holdings Inc. (Hakuhodo DY Holdings).

In the medium-term management plan that begins in fiscal 2024, Hakuhodo DY Holdings has set out to transform from an ad agency group to a creativity platformer. With creativity that focuses on sei-katsu-sha^* as our competitive edge, we will bring together sei-katsu-sha, companies, and society to create new relational values and forge the future. To do so, we have defined six business areas of focus, and through expansion and mutual collaboration among each of these business areas, we will enhance the Group’s overall growth and profitability.
*sei-katsu-sha: a term the Hakuhodo DY Group uses to describe people not simply as consumers, but as fully rounded individuals with their own lifestyles, aspirations and dreams

In our marketing business, which has long been a pillar of profit for the entire Group, we have seen momentous growth, rapid change, and stiff competition in digital marketing. To respond to our clients’ digital marketing needs and become more competitive, we must urgently enhance our services and structure.

The newly established company will serve as the digital core of the Hakuhodo DY Group by not only combining the functions of DAC and Irep, but also by bringing together the digital marketing knowledge and resources of Hakuhodo, Hakuhodo DY Media Partners, and other group companies. With this consolidation of resources and reinforcement of operations, we will be able to bolster our competitiveness, increase our productivity, and raise our profitability to become the best digital marketing company in the industry.

As of April 2024 and during the interim transition to integrate the new company’s operations, DAC and IRep will continue to serve its customers, hire directors and employees, and conduct other business operations in the same manner as it has in the past. Plans are underway for DAC and Irep to fully merge and integrate as the new company in 2025 or later.

About the new company

Name	：To be determined
Location	：4-20-3 Ebisu, Shibuya-ku, Tokyo
Shareholders	：100% owned by the Hakuhodo DY Group
Representative Directors	：Yuzo Tanaka, Chairman; Hiroto Kosaka, President
Employees	：Approx. 3,000 (simple total of DAC and Irep; April 1, 2024, forecast)
Start of integration	：April 1, 2024 (tentatively)
Business description	：Planning, consulting and outsourcing business in the digital marketing field; 　investment business

For inquiries regarding this News Release
D.A.Consortium Inc.
Corporate Strategy Group Public Relations　/　E-mail：ir_inf@dac.co.jp