NEW YORK (TheStreet) -- Shares of Omnicom Group (OMC) are up 1.56% to $69.85 following remarks by Publicis Groupe SA (PUBGY) that attempted to reassure investors about the fate of its $35 billion merger with Omnicom, saying that it was confident the proposed new company would get necessary approval to have its fiscal residence in the U.K., the Wall Street Journal reports.
Publicis noted that the deal requires French tax approval but made no comment about its expectations for such approval. the Journal said.
On Tuesday, it was reported that the deal was at risk, and that unforeseen tax issues put it in jeopardy.
"There is no plan B. Those things are a requirement to get to a closing," said Omnicom CEO John Wren.
TheStreet Ratings team rates OMNICOM GROUP as a Buy with a ratings score of A+. TheStreet Ratings Team has this to say about their recommendation:
"We rate OMNICOM GROUP (OMC) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations, solid stock price performance, largely solid financial position with reasonable debt levels by most measures and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income."