AkzoNobel Acquires Well-known Paint Company

Recently, the international coatings leader AkzoNobel announced that it has completed the acquisition of the Colombian coatings company Orbis Group. Based on the strategic objective of "Grow & Deliver", the acquisition will further strengthen AkzoNobel's business in Latin America, drive its growth in emerging markets and strengthen its global leadership.

The transaction includes Orbis' Pintuco paints and coatings business, Andercol and Poliquim (resins, emulsions, adhesives and specialty chemicals), Mundial (paint and related product distribution services) and Centro de Servicios Mundial (shared service centers). Among them, the Pintuco brand covers 75% of the home decoration paint and 25% of the coating business, providing a rich product line for the market where it is located and providing multiple opportunities for revenue synergy.

Orbis manufactures and sells resins, emulsions, adhesives and specialty chemicals under the main brands: Pintuco, Protecto, AVF Paints, with a distribution network throughout Colombia. Its business covers 10 countries and regions in Central America, South America and the Antilles, and its sales in 2021 will be approximately 360 million euros (about 2.5 billion yuan).

In June 2021, AkzoNobel’s official website first announced that it had reached a preliminary acquisition agreement with Colombian paint and coatings company Grupo Orbis, but the acquisition still needs regulatory approval and is expected to be completed by the end of 2021 or early 2022. Details were not disclosed. It will further expand its long-term presence in South and Central America following an agreement to acquire Colombian paint and coatings company Grupo Orbis.

Thierry Vanlancker, CEO of AkzoNobel, said: "This is a very good acquisition plan, which is perfectly aligned with our growth and delivery strategy of creating global leadership and driving growth in emerging markets. A frontrunner in the Americas, thereby extending our long-term position in South America, where several countries top the global growth rankings over the next decade."

The acquisition offers highly attractive growth potential for AkzoNobel's paints and coatings and will be able to acquire highly complementary geographic locations in several new countries in the Andes, Central America and Antilles region, including the first Three major countries Colombia. This enables AkzoNobel to better serve customers in more regions and enter new markets, which will also strengthen AkzoNobel's competitiveness in the international coatings industry.