PPG drops bid to buy Dulux owner AkzoNobel
- Author: Rita Burton Jun 02, 2017,
Jun 02, 2017, 1:45
He said: "AkzoNobel's boards have consistently refused to engage and did not respond to our call or letter. We believe it's best for PPG and its shareholders to stop this attempt now", he said, AD reports. PPG had made three part-cash, part-share non-binding offers for Akzo since early March.
PPG Industries Inc. said that while it still believes that a combination of the two companies "would create more opportunities", it no longer plans to pursue the acquisition after Akzo Nobel NV again gave the company the cold shoulder last week.
Akzo chief executive Ton Buchner said: "We continue to focus on our business, pursuing our strategy of accelerating sustainable growth and profitability and creating two focused, high-performing businesses - paints and coatings and speciality chemicals".More news: Possible tornado reported in central North Carolina
In April, PPG offered to pay 26.9bn euros (£22.8bn) for Akzo.
A Dutch court on May 29 rejected a petition by Elliott, billionaire Paul Singer's NY hedge fund, to force a shareholder vote on firing Burgmans, claiming he was in "flagrant breach" of his duties to investors for rejecting PPG's offers.
The fund claimed he was in "flagrant breach" of his duties to investors for rejecting PPG's offers.
Under Dutch financial regulations, PPG had until today to either submit a formal bid without AkzoNobel's approval or walk away for a six-month "cooling-off" period.
AkzoNobel shares fell sharply on the news before regaining ground to trade 0.46% lower.