AkzoNobel divests Decorative Paints business to Nippon Paint for USD 1.4B
The company will now focus fully on closing its merger with Axalta.
ASIA – AkzoNobel is set to sell its Decorative Paints business in Southeast Asia to Nippon Paint, under binding agreements announced as part of the company’s previously disclosed portfolio rebalancing strategy.
The transaction covers AkzoNobel’s Decorative Paints operations in seven countries: Vietnam, Indonesia, Malaysia, Thailand, Singapore, Papua New Guinea, and Australia. AkzoNobel will retain complete ownership of its Coatings activities and Global Business Services organization.
The deal is based on a total enterprise value of approximately €1.20 billion ( USD 1.35 billion ), representing an EV/FY25 EBITDA multiple of 21x.
After taxes and payments to minority partners, AkzoNobel expects to receive net cash proceeds of about €0.9 billion (USD 1 billion).
Having already sold its Decorative Paints businesses in India and Pakistan, the planned divestments mark the completion of AkzoNobel’s review of its Asian Decorative Paints portfolio.
AkzoNobel CEO Greg Poux-Guillaume said: “The successful completion of our Asia portfolio review is part of an ongoing strategy to focus our portfolio on areas where we can achieve differentiating scale and strengthen our position.”
He added: “We’re grateful to all our colleagues in Asia for helping us establish a series of excellent Decorative Paints businesses with strong brands and products. We trust that Nippon Paint, in combination with their own businesses in those countries, will build on that momentum.”
The transactions remain subject to customary closing conditions, including regulatory approvals.
Completion is expected in mid-2027, except for the Indonesia business, which is anticipated to be sold separately in late 2026.
Wee Siew Kim, Director, Representative Executive Officer and Co-President at Nippon Paint, said: “We are excited to welcome these businesses and talented teams to our Group, with our shared ambition to create lasting value for our customers and partners.”
“We look forward to building on the strong foundations established by AkzoNobel, while continuing to deliver the quality, experience and local expertise that customers have come to value.”
AkzoNobel Decorative Paints, part of AkzoNobel’s Decorative Coatings business, offers a broad portfolio of products for residential, commercial, and professional painting applications. Its flagship brand is Dulux, alongside regional brands such as Sikkens, Hammerite, Cuprinol, Coral, Flexa, Levis, Sadolin, and Vivechrom, depending on the market.
AkzoNobel’s Decorative Paints business focuses on interior and exterior architectural coatings, wood finishes, enamels, primers, fillers, and decorative solutions, serving homeowners, contractors, architects, and professional painters worldwide.
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