Akzo Nobel reaches general agreement to buy BASF’s industrial coatings business
BASF and Akzo Nobel have reached a general agreement on the sale of the industrial coatings business of BASF’s Coatings division to Akzo Nobel for EUR 475 million.
The transaction would include technologies, patents and trademarks, as well as the transfer of two dedicated production sites, one in Deeside, England, and one in Vanderbijlpark, South Africa. Both companies intend to finalize and sign detailed transaction documents in due course. The planned transaction is subject to the required consultation with employee representatives and certain regulatory approvals. BASF and Akzo Nobel intend to complete the transaction by the end of 2016.
BASF’s industrial coatings business generated sales of approximately €300 million in 2015 and supplies products for a number of end uses, including coil, furniture foil and panel coatings, as well as coatings for wind energy plants, general industry and commercial transport. “This proposed acquisition will strengthen our position in the important coil coatings market and fits well with our existing business,” said Akzo Nobel CEO Ton Büchner.
“We have successfully developed our global industrial coatings business over the last years with a clear focus on attractive market segments. To further develop the business, we see positive growth prospects under the umbrella of Akzo Nobel, which is a leading global player in industrial coatings,” said Markus Kamieth, President of BASF’s Coatings division. With this transaction, BASF will further strengthen its focus on its core automotive OEM and automotive refinish coatings businesses as well as the decorative paints business with its brand in Brazil.
