HOME and IMA (formerly Intermarketing), are to create a new "super integrated" agency called IMA HOME.
Based in Leeds, with 11 offices across six countries, the new business will become one of the largest agencies in the UK, with a turnover of £70m and plans for growth.
The merged agency already employs 400 people. It has plans to recruit 200 more roles in the next three years.
IMA HOME will offer new and existing clients an extensive range of integrated services, global reach and a breadth and depth of specialist knowledge. The agency's client list, will include household names such as Jet2, Royal Canin, Dr Oetker, adidas, Reebok, AG Barr and More Than.
Steve Sowden, Chief Operating Officer at IMA said, “We’ve admired HOME for a long time. It’s an awesome agency with great people and a fantastic culture.
“This merger is all about growth and opportunity for our people and our clients. Like HOME, IMA is already in a very healthy and profitable position and despite COVID, it’s fair to say that we're both flying.
“The last 18 months have been tough and we are more committed than ever to creating amazing futures and opportunities for all colleagues at IMA and HOME.”
Dave Sewards, Group Chairman at HOME, said: “This is an incredibly exciting opportunity for everybody involved. When Steve and I first started talking it was immediately clear we shared incredibly similar values. This really feels like a very natural collaboration.
“We’re committed to maintaining HOME’s culture and start-up mentality, something that was very important to us when we opened the doors 20 years ago and remains visible in both our culture and service to clients today.
“Maintaining that agility at such a large scale means we’ll continue to offer clients a bespoke service, and as a combined entity will have even stronger expertise and breadth.”
Advantage Smollan, the sales and marketing outsourcing specialist, acquired IMA in 2017 and is adding HOME (including its group companies Fusion Learning and CHILLI) to its portfolio.
A spokesman said: "It will merge the agencies together to create a new force in the marketing agency sector."
Home was advised by Sarah Harrison and Hannah Nelson of Clarion in Leeds, a firm which has provided legal advice to Home for nearly a decade.