BASF Launches Sale of Coatings Unit Valued at 6 Billion Euros

German chemical giant BASF has officially started the sale process for its coatings business, with a valuation estimated at 6 billion euros (approximately $6.8 billion). The move has drawn significant interest from global private equity firms, including Carlyle Group, which is reportedly exploring a joint bid with Sherwin-Williams. Earlier this year, Sherwin-Williams acquired BASF’s Brazilian coatings business for $1.15 billion.

Advised by Bank of America and JPMorgan, the sale process is still in its early stages. Potential bidders include CVC Capital Partners, Lone Star Funds, Advent International, Bain Capital, Blackstone, and Platinum Equity.

BASF’s coatings division generated 4.3 billion euros in revenue in 2024, offering automotive, industrial, and decorative coatings. With its global footprint, the business is considered an attractive standalone platform for private equity firms seeking growth through operational improvements and bolt-on acquisitions.

BASF confirmed that it is engaging with both private equity and strategic buyers, stating, “Discussions are ongoing, and strong interest has been shown.”

If sold at the estimated valuation, the transaction would rank among the largest industrial deals in Europe this year.