AkzoNobel has agreed with Nippon Paint to divest its decorative paints division in Southeast Asia for $1.35 billion (about 1.2 billion euros). The business will be divested in seven countries: Vietnam, Indonesia, Malaysia, Thailand, Singapore, Papua New Guinea and Australia.
After making the necessary tax payments and deductions for minority partners’ interests, AkzoNobel will be left with around $1 billion (0.9 billion euros) in cash from the sale. While AkzoNobel divests its decorative paints division, its coatings division and Global Business Services division will remain intact.
This sale marks the conclusion of AkzoNobel’s strategic portfolio assessment of its decorative paints division in Asia. The sale follows earlier sales of its paint divisions in India and Pakistan. With this move, the company is refining its focus and positioning itself for an important merger with Axalta, which is set to occur soon.
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It has not been completed yet because it will need regulatory approvals and other closing conditions. According to AkzoNobel estimates, most deals in the country will close by mid-2027. Meanwhile, the sale of the Indonesian company is moving much faster and will be finalised in 2026. As a result, AkzoNobel’s stock price rose 2.24%, closing at 56.68 euros.
