Akzo Nobel has agreed to divest part of its liquid coatings activities in the agricultural, construction and earthmoving equipment (ACE) segment to BASF, and in a separate deal, The Netherlands-based coatings giant will acquire BASF Coatings' wood construction (joinery) business.Both companies expect to complete the transfer of the businesses in the second half of the year.
Financial details of the two transactions were not disclosed.
The divestment involves the ACE activities of Akzo Nobel's Car Refinishes business in Germany, Austria, France, Italy, Switzerland and Spain. The manufacture of these coatings will be transferred from Akzo Nobel's sites in Zona Franca (Spain), Stuttgart (Germany) and Montataire (France) to one of BASF's coatings sites.
Production of the BASF products-mainly used to coat doors and windows used in the construction industry-will be transferred from the BASF site in Münster to Akzo Nobel's Decorative Coatings site in Cologne, Germany.