The transaction will allow AkzoNobel India to focus entirely on liquid paints, while gaining full brand and technology independence in its core Decorative Paints segment.
The international paints and coatings manufacturer AkzoNobel has recently announced its plans to separate the powder coatings operations from its Indian subsidiary, AkzoNobel India Limited, in a strategic move aimed at streamlining its businesses.
As part of this restructuring, AkzoNobel has made an offer to acquire the Powder Coatings operations and the International Research Center from AkzoNobel India. Additionally, the intellectual property for its local Decorative Paints business will be transferred to the Indian subsidiary.
The Board of Directors of AkzoNobel India has approved the offer, but the transactions are subject to final approval from AkzoNobel India shareholders and the Supervisory Board of Akzo Nobel N.V.
AkzoNobel India will seek shareholder approval in the coming weeks, with the voting process expected to conclude within a month.