BASF coatings realigns industrial coatings portfolio

BASF coatings realigns industrial coatings portfolio

BASF coatings realigns industrial coatings portfolio

BASF coatings is continuing to shift its business activities to profitable growth markets. To this end, the company is expanding business fields such as coil and foil coatings as well as commercial transport and commercial vehicle paints as segments in which it is well positioned worldwide. On the other hand, BASF Coatings is set to split off its Glasurit Construction paints unit, which only partly fits into the company's main product portfolio.

BASF Coatings has decided to divest its Glasurit Construction paints business to Akzo Nobel and to acquire parts of Akzo Nobel's agricultural and construction machinery paints business. Both companies expect to complete the transfer of the businesses in the second half of 2004 subject to the approval of the bodies involved.

“With these transactions, we consistently continue to pursue our strategy of profitable growth. It is mainly the acquisition of coatings for agricultural and construction machinery that will give us another boost,” says Jean-Pierre Monteny, CEO of BASF Coatings AG. “This also applies for the foil coatings business we recently acquired from the Treffert Group and the expansion of our presence in the Chinese coil coatings market. Simultaneously, we assume that the window and exterior door coatings business will bring development potential to companies specializing in these market segments,” explains Monteny.

Subject to the consent of the bodies involved, the transactions will cover the transfer of customer bases, special technologies and market expertise, but will not affect any manufacturing facilities. Details regarding the transfer of human resources are currently being agreed between BASF Coatings and Akzo Nobel.