AkzoNobel exits Southeast Asian decorative paints, selling to Nippon Paint for $1.35B
Seven-country decorative paints sale at 21x EBITDA concludes AkzoNobel's Asian portfolio review and clears the way for the Axalta merger.
What was changed
On 5 October 2026 AkzoNobel entered binding agreements to sell its Decorative Paints business in South East Asia to Nippon Paint, covering seven countries — Vietnam, Indonesia, Malaysia, Thailand, Singapore, Papua New Guinea and Australia — at a total enterprise value of about $1.35 billion (€1.20 billion), a 21x multiple of FY25 EBITDA.
Having already sold its decorative paints businesses in India and Pakistan, the divestments mark the conclusion of AkzoNobel's Decorative Paints portfolio review in Asia. CEO Greg Poux-Guillaume framed it as an ongoing strategy to focus the portfolio where the company can achieve differentiating scale; AkzoNobel retains full ownership of its Coatings activities and Global Business Services organization.
Nippon Paint's Wee Siew Kim welcomed the businesses and teams, pledging to build on the strong foundations. AkzoNobel says it will now focus on successfully closing its merger with Axalta.
Why it worked
The sale completes a deliberate exit from sub-scale regional decorative paints positions toward areas of differentiating scale.
A 21x EV/FY25 EBITDA multiple let AkzoNobel monetize mature regional brands near the top of the cycle.
With India and Pakistan already sold, closing the Asian review frees management to concentrate on the Axalta merger.
What can be applied
Exiting strong regional businesses at premium multiples funds and focuses the next strategic move — here the Axalta merger — rather than waiting for those positions to decline.
Aftermath
Completion is expected in mid-2027, except for the Indonesia business, which is expected to complete separately in late 2026, subject to customary closing conditions including regulatory approvals. Net cash proceeds of about $1 billion are expected after taxes and minority partners.