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Advertiser WPP takes stake in Argentina company

NEW YORK (AP) -- The advertising group WPP PLC said Wednesday that it took a minority stake in Globant.

WPP, which is based in Dublin, said that it acquired 20 percent of Globant through a $70 million investment in the company. Globant, based in Buenos Aires, Argentina, makes software products and helps run marketing campaigns, according to a statement from WPP.

In a statement announcing the investment, WPP's CEO Sir Martin Sorrell praised Globant for its ability to handle both marketing and information technology.

Globant's clients include American Express, JP Morgan Chase & Co. and the Coca-Cola Co., according to the statement.

WPP said the deal will give it a stronger presence in South America. The region represents roughly one-third of its revenues and WPP said it's gunning to raise that figure to as much as 40 percent in the next five years.

The company said it considers "this decade as very much the decade of Latin America, particularly with the FIFA World Cup taking place in Brazil in 2014 and the Olympics in Rio in 2016."