NEW YORK: WPP, the world’s biggest advertising group, is being sued by investors who reckon the company misled them about the state of its struggling media business. Two class-action lawsuits—one from Rosen Law Firm, another from Glancy Prongay & Murray—have reportedly been filed against the British giant, both chasing shareholders who bought American depositary shares between 27 February and 8 July 2025.
The complaints claim WPP painted a rosy picture whilst hiding an ugly truth: that its media arm, formerly called GroupM and now renamed WPP Media, was losing ground to rivals and couldn’t hack the tough economic climate. On 9 July, the firm finally admitted that performance had “deteriorated” through the second quarter, blaming “macro uncertainty” and “weaker net new business” alongside “distraction” from restructuring its media operations.
Investors weren’t amused. The shares plunged $6.48—an 18.1 per cent drop—to close at $29.34. The lawsuits allege that WPP’s upbeat statements lacked any reasonable basis and that executives concealed the media division’s market-share losses.
Both firms are now racing to recruit a lead plaintiff before the 8 December deadline. Rosen Law Firm, which boasts of securing the largest-ever securities settlement against a Chinese company, says investors may be entitled to compensation without upfront costs. Glancy Prongay & Murray is pitching a similar deal.
No class has been certified yet, and shareholders needn’t do anything to remain part of the action. But if they fancy leading the charge, they’d better move fast. WPP’s troubles, it seems, are only just beginning to bite.
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