Akzo Nobel has agreed to sell its decorative paints business in Southeast Asia to Nippon Paint at an enterprise value of $1.35 billion. The agreement covers operations in Vietnam, Indonesia, Malaysia, Thailand, Singapore, Papua New Guinea, and Australia. The Dutch paint company expects net cash proceeds of approximately $1 billion after taxes and minority partner contributions.
The planned sale marks the conclusion of Akzo Nobel's decorative paints portfolio review in Asia. The company will continue to focus on its pending merger with Axalta Coating Systems. The transaction is expected to close in mid-2027, with the exception of the Indonesia business, which is scheduled for a separate completion in late 2026.
Nippon Paint will acquire the entirety of Akzo Nobel's decorative paints joint venture in Indonesia from both Akzo Nobel and its local partner. The deal reflects ongoing consolidation in the global paints industry.
Source: Wall Street Journal US Business · Summarized by HeadlinesBriefing