Dutch paints and coatings maker Akzo Nobel rejected an improved $24.1 billion takeover proposal from U.S. rival PPG Industries. Fred Katayama reports.
Dutch paints maker Akzo Nobel still saying "no" to a sweetened takeover proposal from its U.S. rival PPG Industries. That despite a two billion dollar markup to $24.1 billion. Akzo says - at $88.72 per share and a 40 percent premium - the offer is not good enough to even start a conversation. It says it would bring job losses and massive divestitures. And it wants to "unlock value" in a different way - by spinning off its chemicals business. But several company shareholders say they see merit in a deal with PPG and encourage management to enter talks. They say a price in the 90s could be tempting. PPG, on the other hand, says, the two companies are a good match, and a merger would benefit shareholders and staff. PPG first offered $22 billion to Akzo in the begining of March. That was during an election campaign in the Netherlands, with some politicians publicly opposing the bid, saying it's not in the Dutch national interest.