MOSCOW (MRC) -- AkzoNobel, the leading global producer of paints and coatings, said it is in discussions with BASF to acquire BASF’s industrial coatings business, said Chemweek.
"The strategy of AkzoNobel of driving operational excellence and organic growth includes the possibility to pursue value generating, bolt-on acquisitions," the company said. No further information will be made available at this stage. AkzoNobel's industrial coatings business had sales of around EUR780 million (USD884 million), or 14% of the company's performance coatings sales of EUR5.59 billion in 2014.
BASF confirmed that it is in discussions with AkzoNobel on the potential sale, but also declined to give further information. BASF is relatively small in industrial coatings. Its main coatings sectors are automotive and consumer. Industrial coatings are lumped under others, which in 2014 had sales of about EUR240 million, or 8% of coatings sales of EUR2.98 billion. BASF says its main competitors in industrial coatings are AkzoNobel and PPG.
BASF’s industrial coatings are produced at Munster and Oldenburg, Germany. The company offers systems for coating industrial products such as Coiltec, a universal non-chromate coil coating primer and foil coatings, applied to paper and plastic substrates. For the final finish of manufactured products, BASF’s industrial coatings portfolio comprises e-coats, spray and dip coatings, which are used for industrial buildings, radiator components, household appliances and wind turbines.
AkzoNobel Surface Chemistry is a global leader in the manufacturing and supply of specialty surfactants, synthetic and bio-polymer additives and specialty polymers. AkzoNobel currently employs more than 7,400 people in China.
As MRC informed earlier, BASF has signed an exclusive distribution agreement with Nexeo Solutions (The Woodland, TX), a privately owned chemical distributor, for the distribution of certain specialty high-performance solvents in the United States and Canada.
BASF is the leading chemical company. It produces a wide range of chemicals, for example solvents, amines, resins, glues, electronic-grade chemicals, industrial gases, basic petrochemicals and inorganic chemicals. The most important customers for this segment are the pharmaceutical, construction, textile and automotive industries.