Advertising giant Dentsu is abandoning efforts to sell its struggling international division after potential buyers exited negotiations. The Tokyo-based company's global arm has been underperforming for years despite previous restructuring attempts.

Dentsu's international business has weighed down earnings since acquiring UK-based Mirus and other Western agencies in the 2010s. Integration challenges and cultural mismatches have plagued these operations, creating persistent losses.

Industry analysts say the failed sale leaves Dentsu with few options beyond internal restructuring or writing down the unit's value. The collapse highlights ongoing difficulties Japanese firms face when expanding overseas through acquisitions.

Dentsu must now decide whether to invest further in fixing its global operations or cut losses entirely. The outcome could reshape its international strategy and impact shareholder returns significantly.