AkzoNobel rejects PPG's upsized offer, shareholders urge reconsideration
March 23, 2017
PPG's latest proposal was to pay €90 per AkzoNobel share in a mix of cash and stock, representing a transaction valued at approximately €24.5 billion, including the assumption of debt. The revised price reflects an increase of €7 per share from PPG’s initial offer and represents a 40% premium to AkzoNobel's closing share price March 8.
Elliot Advisors and Columbia Threadneedle are reportedly among the AkzoNobel shareholders imploring the company to reconsider an offer that could create some $750 million in synergies, despite AkzoNobel's assertion that the possible tie-up would represent too many antitrust issues and undervalues its business. But AkzoNobel may have already moved on. After rejecting PPG the first time around, AkzoNobel decided to shop its €4.8 billion specialty chemicals business. AkzoNobel stock closed down 1% on Wednesday.
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