Handshake
BASF has announced it intends to sell its global industrial coatings business to AkzoNobel for €475 million (approx. £370 million GBP).
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.
BASF says the decision to sell its industrial coatings business, which generated sales of approximately €300 million (approx. £234 million) in 2015 and supplies markets including coil, furniture foil and panel coatings, will allow it to strengthen its focus on its core automotive and OEM and automotive refinish coatings business.
“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 AkzoNobel, which is a leading global player in industrial coatings,” said Markus Kamieth, President of BASF’s Coatings division.
BASF and AkzoNobel intend to finalise 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 AkzoNobel intend to complete the transaction by the end of 2016.