Longtime Hollywood marketing agency The Ant Farm is closing down.
Staff at the company were notified Thursday of the decision, by parent company Omnicom, to disband the venture, The Hollywood Reporter has confirmed.
Ant Farm has crafted trailers and television spots for virtually all of the major Hollywood studios over the years, both for movies and television.
The company was founded by Barbara Glazer and Michael Greenfield in 1996. It became part of the Omnicom Group in 1996 when the duo sold their company to DDB. Ant Farm has weathered a series of executive exits in recent years, beginning with Greenfield and Glazer in 2007.
The company’s theatrical division helped create award-winning campaigns for such films as American Hustle and the Transformers movies. More recently, the agency worked on Warner Bros.’ Tomb Raider reboot and Paramount’s Mission: Impossible — Fallout, which opens in theaters Friday.
Sources say Omnicom, an advertising and media holdings conglomerate, is seeking to shed any venture that doesn’t have a substantial return on investment or a 25 percent margin. “Omnicom is having a tough go, and they didn’t think they [Ant Farm] were core to their strategy,” said one insider.
Reps for Omnicom and Ant Farm didn’t immediately respond to requests for comment.