The divestment covers Teknos' Danish architectural coatings business segment including Teknos Proline shops in Denmark. Employees related to AC business in Denmark continue as old employees at the new owner company. The production of Danish architectural coatings products will also be transferred gradually to the new owner.
The history of Teknos Group's architectural coatings business in Denmark dates back to 2001 when Teknos bought Hygaea A/S paint company. Via the acquisition Teknos got new know-how on the industrial wood and on the UV technology as well as architectural coatings products and architectural coatings shop chain. For Teknos the architectural coatings business in Denmark was new and the architectural coatings markets in Denmark turned out to be different than those in Finland and Sweden. Teknos was not able to find any synergy within the group and neither any common group concept within the architectural coatings products, according to the company.
Teknos had therefore reached the conclusion that it is not wise to continue in so narrow segment and with little market share. In the future Teknos will put the efforts on the markets where it already is strong and where it has potential for growth. Now Teknos continues in Denmark as market leader at the industrial paint markets.
The divestment do not effect Teknos Group's architectural coatings business in other countries. In Finland, Sweden and other countries Teknos continues the business without changes. In these countries Teknos has a strong market position and is also seeking new markets and growth potential in Eastern Europe.