PPG Industries explores potential deal with Dutch rival AkzoNobel
09 March 2017
American Fortune 500 paints and coatings major PPG Industries Inc., is exploring a potential deal with Dutch rival Akzo Nobel NV, Bloomberg yesterday reported, citing people familiar with the matter.
PPG is working with advisers to explore a deal that could involve buying all or part of Akzo Nobel, the report said.
Pittsburgh-based PPG, which has a market value of $25.9 billion, is the world's largest coatings company, while Akzo Nobel is the world's second-biggest paint company with a market cap of about $17 billion.
Amsterdam-based Akzo Nobel is also Europe's largest coatings company and the world's largest producer of protective and marine coatings.
A deal would create the world's largest paint company with a market cap of around $43 billion and annual revenues of nearly $31 billion.
Akzo Nobel, whose brands include Dulux, Bruguer, Tintas Coral, Hammerite, Herbol, Sico, Sikkens, International, Interpon, Casco, and Pinotex among others, is a leading coatings company whose key products include automotive coatings, specialised equipment for the car repair and transportation market and marine coatings.
Formed in 1994, by the merger of Akzo NV of the Netherlands, and Nobel Industries of Sweden, Akzo Nobel operates in more than 80 countries, and employs approximately 46,000 people.
Pittsburgh, Pennsylvania-based PPG is an US Fortune 500 company and global supplier of paints, coatings, specialty materials, and fiberglass.
PPG employs around 47,000 people, and has 156 manufacturing plants in 70 countries.