Welcome Guest to Coatings World    Login || Register
Last Updated Thursday, August 27 2015

Akzo and ICI have reached an agreement

By Tim Wright

Published August 15, 2007
Related Searches: Adhesives
After two months of negotiations, the chemicals and paints group of UK-based ICI has agreed to be bought by Dutch rival Akzo Nobel for £8 billion ($16.1 billion).

The board of Imperial Chemical Industries (ICI) has agreed to the cash takeover, which requires approval from shareholders, after rejecting two previous approaches by Akzo earlier in the summer.

"We will create a leading global coatings and specialty chemicals company with a diversified geographic presence and well developed access to fast-growing markets in Asia-Pacific, particularly China and Latin America," said Akzo Nobel CEO Hans Wijers during a press conference.

Wijers also indicated that "there may likely be job cuts" during the integration of the two groups.

In a joint statement, Akzo Nobel said the board of ICI had accepted a cash offer of 670 pence for each ICI share.

Additionally, Akzo said Henkel, a German maker of household chemicals and cosmetics, had agreed buy the adhesives and electronic materials businesses of National Starch and Chemical Co, which is owned by ICI, for £2.7 billion

"Akzo Nobel has today made a compelling offer which delivers full value for ICI reflecting ICI's strong future growth prospects and strategic opportunities," said ICI chief executive John McAdam.

"Accordingly, the ICI board will be recommending shareholders accept the 670 pence cash offer from Akzo Nobel as it believes it to be in their best interests."

The recommended offer is the culmination of two months of negotiations which saw ICI rebuff two informal offers from Akzo at 600 pence and 650 pence, before finally opening its books to the company following the 670 pence offer.

blog comments powered by Disqus

Receive free Coatings World emails
Sign up now to receive the weekly newsletter, and more!

Enter your email address:
Company Spotlight
18F, No.85, Sec. 1, Chung-Shiao E. Rd.
Taipei, Taiwan, 100
View Profile
Houchi Chemical Co., Ltd
No.56, Fu Chow Street
Taipei, Taipei, 100
View Profile
Sunin Machine Co., Ltd.
No.96, Chiao Ho Rd ,Chungho Dist
New Taipei City, Taiwan , 235
Taiwan Roc
View Profile
BASF Corporation
100 Campus Drive
Florham Park, NJ, 07932
View Profile
AZ Electronic Materials Co., Ltd.
No. 458-6, Sinsing Road Hu Kou Township Hsinchu Country 303, Taiwan
Hsinchu Country, Taiwan, 303
View Profile
Shamrock Technologies, Inc.
Foot of Pacific Street
Newark, NJ, 07114
View Profile
Siltech Corporation
225 Wicksteed Avenue
Toronto, ON, M4H 1G5
View Profile
Micro Powders, Inc.
580 White Plains Rd.
Tarrytown, NY, 10591
View Profile
Follow Coatings World On