Coronavirus - we're here to help
From how to access your account online, scam awareness, your wellbeing and our community we're here to help.

Skip to main content
  • Register
  • Help
  • Contact us
  • Log in to HL Account

AkzoNobel proposes €31.25 a share for Finnish paint maker Tikkurila

Mon 18 January 2021 10:40 | A A A

No recommendation

No news or research item is a personal recommendation to deal. Hargreaves Lansdown may not share ShareCast's (powered by Digital Look) views.

(Sharecast News) - Dulux owner AkzoNobel said on Monday that it has proposed to buy Finnish paint maker Tikkurila for €31.25 a share, valuing the business at €1.4bn and trumping an offer from US paint company PPG Industries.

Chief executive officer Thierry Vanlancker said: "The natural combination of AkzoNobel and Tikkurila would build on centuries of industry experience and a shared European heritage to create significant value for customers, employees, shareholders and other stakeholders.

"Bringing together our premium brands and leading portfolios would provide customers with a wider range of innovative products and services, including the most sustainable paints and coatings solutions."

The transaction is expected to be accretive to earnings per share in 2022 and will be financed using existing cash and credit lines. AkzoNobel said it will continue its current €300m share buyback programs and maintain a target leverage ratio of 1-2x net debt/EBITDA.

Tikkurila agreed earlier this month to be bought by PPG Industries for €27.75 a share. This was up from an initial offer of €25 a share.

    The value of investments can go down in value as well as up, so you could get back less than you invest. It is therefore important that you understand the risks and commitments. This website is not personal advice based on your circumstances. So you can make informed decisions for yourself we aim to provide you with the best information, best service and best prices. If you are unsure about the suitability of an investment please contact us for advice.

    More company news from ShareCast