Bharat Thakrar, the former chief executive of marketing communications firm WPP Scangroup has launched a spirited push to oust the current board of the company citing "severe erosion of shareholder value" among other reasons.

This, coupled with mounting losses which have crossed KSh3.1 billion since 2021, has seen Thakrar join hands with a group of minority shareholders demanding change at the helm of WPP Scangroup.

In a public notice dated 8 May 2026, Thakrar and his team are demanding that the firm calls for an extraordinary general meeting, featuring both virtual and physical attendance, to hear and consider the ouster of directors and immediate appointment of new leadership.

The former CEO has cited sections 139 and 287 of the Companies Act, effectively offering the current members of the board very little room to delay the call for the Nairobi Securities Exchange-listed company.

Thakrar faction has lobbied other minority shareholders of WPP Scangroup including Carl Adam Ogola, Elephenge Ltd, and several entities linked to the Bid family, all controlling at least 58.7 million ordinary shares, or 13.59 percent of the voting capital. 

This shareholder representation exceeds the 10 percent requirement as provided under the company’s articles of association and Kenya’s Companies Act, 2015.

WPP Scangroup suffers KSh714 million loss

In late April, WPP Scangroup announced a net loss of KSh714 million for the trading period ended December 2025. This was a 41 percent increase in loss compared to the previous year's KSh507 million.

During the period under review, the marketing communications firm saw revenue decrease by 16 percet to close at KSh2.04 billion.

However, Thakrar and his alliance of minority shareholders are tracing WPP Scangroups downfall to 18th February 2021, when its share price at the NSE stood at KSh5.94. As of 6th May, 2026, the company's stock has tumbled to KSh2.24 per unit, representing a massive 62 percent dip in market capitalisation.

During the five-year season, shareholders have sustained losses estimated at KSh3.1 billion even as cash balances contracted by nearly KSh2 billion.

“These matters indicate a severe erosion of business value, client base, regional presence and financial performance under the current board’s oversight,” the requisition for special AGM, which was signed by the minority shareholders states in part.

WPP Scangroup woes over the five-year period have been marked by the exit of major clients to rival marketing communications companies. Some of the high profile companies that have severed ties with WPP Scangroup include lenders KCB, Equity, and NCBA as well as Airtel Afirica, a client base that accounted for roughly 24 percent of the firm's earnings.

“The loss of Airtel may materially impair the company’s performance in the financial year 2026 and beyond,” the letter warns.

WPP Scangroup divesture in Africa

Compounding the commercial damage, the current board has divested the South African public relations business while also ending PR and advertising operations in Nigeria and Tanzania markets. 

According to the minority sshareholders, exit from key markets in the continent has worked to dismantle WPP Scangroup’s historic Pan-African footprint, which gave it a core strategic advantage over regional rivals.

Another issue relates to a long-term loan to WPP Group Services (SNC), a wholly-owned subsidiary of WPP plc, the London-listed advertising giant that remains WPP Scangroup’s majority shareholder. 

According to the latest statement, this loan stands at approximately KSh1.2 billion, and its attracting interest at just 5 percent per annum, a rate the Thakrar-led team terms “low relative to the risk profile and prevailing market conditions”.

A further receivable from Ogilvy South Africa, another WPP plc subsidiary, amounts to roughly KSh 78 million. The shareholders complain of inadequate disclosure regarding security, repayment arrangements and treasury policy. “Any impairment or non-recovery of these balances would further erode shareholder value,” they warned.

Crucially, the letter raises a direct challenge to WPP plc’s commitment: “It is our considered view that the matters set out above raise serious questions as to WPP Plc’s continuing strategic, financial and operational commitment to the long-term sustainability of WPP Scangroup PLC.”

Bharat Thakrar willingness to convene meeting, costs to WPP Scangroup

Additionally, the requisition invokes Article 44.4 of the company’s articles, which requires the board to convene a general meeting within 21 days of receipt, to be held no more than 28 days after the notice is issued. 

The dissidents have already flagged their willingness to convene the meeting themselves under section 279 of Kenya’s Companies Act if the board fails to act, with all costs borne by the company.

The proposed resolutions are framed as ordinary resolutions, seeking the removal of named directors and the appointment of replacements “subject to their written consent to act and compliance with applicable law”. The newly constituted board would be asked, as its first order of business, to consider “appropriate board and executive leadership appointments”.

Shareholders also demand that the board provide evidence of their holdings against the company’s register and send a copy of the requisition and proposed removal resolutions to each director concerned, including their right to be heard and to make written representations.

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