AkzoNobel rejects PPG again
AkzoNobel has rejected a third takeover bid from PPG Industries.
The deal, which valued the Dutch firm at €26.3bn, aimed to combine the world’s two biggest makers of paints and coatings, and allow PPG to make claimed savings of €750m. However, AkzoNobel rejected the offer for being too low, faced with antitrust risks and failing to address concerns such as ‘cultural differences’.
AkzoNobel’s CEO Ton Buechner said, ‘The PPG proposal undervalues AkzoNobel, contains significant risks and uncertainties, makes no substantive commitments to stakeholders and demonstrates a lack of cultural understanding,’ He also reiterated the plans for AkzoNobel to pay €1.6bn in extra dividends to investors this year and sell off its chemicals business.
PPG said it was ‘disappointed’ with the rejection.