PPG Reiterates Invitation to AkzoNobel
to Discuss Combination of Two Companies
PPG reiterated its invitation to AkzoNobel to enter into discus- sions to explore PPG’s proposal to
form a combined company. This follows
the previous announcements on March 9,
2017 and March 22, 2017.
PPG continues to believe that a combination of the two companies has a strong
strategic rationale and presents a highly
compelling and unique opportunity for
both AkzoNobel and PPG and their respective stakeholders.
“We made a compelling offer to
AkzoNobel that provides its shareholders with a significant premium and the
opportunity to benefit from the upside
potential of a stronger company that is
well positioned for future growth and
value creation. Together, we can create
a stronger company that will benefit all
of AkzoNobel’s stakeholders, including its Netherlands-based employees,”
said Michael McGarry, PPG chairman
and CEO.
Although AkzoNobel has declined
PPG’s repeated invitations to meet, PPG
remains committed to seeking engagement with AkzoNobel. PPG believes
AkzoNobel should honor growing requests to engage and fully consider all
relevant options to create the most value
for all of its stakeholders, and benefit
from the multiple months of preparation
already completed by PPG.
“The resounding feedback we have
received in the Netherlands, the UK
and the U.S. further validates the mer-
its of combining PPG and AkzoNobel,”
McGarry said. “We are now even more
convinced that this combination is in
the best interests of all stakeholders of
AkzoNobel.”
PPG has stated its commitment to ad-
dress several areas of importance previ-
ously identified by AkzoNobel, such as
continuing commitments to research
and development, honoring existing em-
ployment terms of employees and social
plans, locating key businesses in Europe
and in the Netherlands, maintaining im-
portant public-private partnerships, and
further strengthening community invest-
ments and commitments to sustainabil-
ity and social responsibility. PPG can
provide detailed answers to any specific
concerns that AkzoNobel may have, in-
cluding with respect to antitrust matters
where PPG’s antitrust experts have con-
ducted extensive analysis and are confi-
dent that there is a clear path forward to
complete the transaction.
“We once again invite AkzoNobel to
meet with us to learn more about our
specific proposals. We are prepared to
address all of AkzoNobel’s concerns in
a collaborative and substantive manner,
and the best approach for AkzoNobel is
to engage with PPG in each of these im-
portant areas for the benefit of all stake-
holders,” McGarry said.
In accordance with Dutch law, PPG
confirms its intention to make a public
offer for all the issued and outstanding
shares of AkzoNobel. A draft offer memorandum is currently expected to be submitted by PPG to the AFM no later than
June 1, 2017. CW
Index to Companies
This index gives the starting page for a department or feature with a significant reference to a manufacturer of paint, coatings, adhesives and sealants
Subsidiaries are indexed under their own names.
AkzoNobel...................................................................................................... 10
Axalta Coating Systems............................................................................. 10. 26
Mankiewicz..................................................................................................... 41
PPG.....................................................................................8, 10, 26, 41, 45, 66
RPM ............................................................................................................... 10
Sherwin-Williams ............................................................................................ 41
Sika ................................................................................................................. 10
Teknos ............................................................................................................ 10
Tnemec ........................................................................................................... 26
Valspar ............................................................................................................ 10
Volatile Free .................................................................................................... 26