Axalta Coating Systems Ltd has formed a board committee to explore a sale, Reuters reported. Among its arguments against a takeover by PPG, the Dutch paintmaker said that the deal would be difficult to get passed competition authorities. A tie-up between Axalta and Akzo is “logical” given the rapidly consolidating coatings industry, Ghansham Panjabi, an analyst at Robert W. Baird & Co., said in a note about the latest move. Axalta has a phenomenal Cash Return on Equity; nevertheless, with debt factored in, its CROTC is just 10.4%. Axalta rebuffed acquisition approaches in … According to a report by Reuters, PPG Industries Inc. (NYSE:PPG) and the private equity firm Clayton, Dubilier & Rice LLC (CDR) are among groups considering acquiring Axalta Coating Systems Inc. (NYSE:AXTA).Also reported to be considering a bid for Axalta is a partnership between Platinum Equity LLC, and Koch Industries Inc. In the first half of 2020,  manufacturing globally secured a total deal value of $26.2 billion, a 46% decline and 21% decline in deal volume when compared to the first half of 2019. Reviews from Axalta Coating Systems employees about Axalta Coating Systems culture, salaries, benefits, work-life balance, management, job security, and more. Axalta seems to have decent stuff now a days, not as common as PPG yet around here. Global Paint Color Trends. COVID-19 has caused unprecedented challenges, but businesses can use M&A to solidify and add value to their business – divest where possible,  and invest where necessary. Contact. The company reported net sales of $4.1 billion last year and employs about 13,000 people. SPACs have no commercial operations and are designed specially to raise money through initial public offerings (IPOs) to buy another company. Bloomberg reported last year Axalta drew interest from two rival firms, Kansai Paint Co. Ltd. and PPG Industries Inc. (NYSE: PPG). Deal or No Deal: Is Manufacturing M&A on Track for Resurgence? Sep 22, 2019 ... Standox has gotten stupid expensive since Dupont sold out to Axalta. Axalta Coating Systems in the UK are a leading manufacturer of industrial coatings of which Industrial Coatings Ltd are proud to be a select distributor for their products. PPG is one of the only automotive refinishing supply companies able to provide any type of automotive coating for body shops. Learn More. In attempting a merger of equals deal with Axalta, Akzo might try to keep its headquarters in Amsterdam and research centers spread across the Netherlands. Glassdoor. At the time, Economy Minister Henk Kamp backed the rejection of PPG in favor of a go-it-alone position becuase “Akzo’s headquarters, its R&D and its staff in the Netherlands, contributes to the strength of the Dutch economy.”, By Ellen Proper and Manuel Baigorri, with assistance from Jack Kaskey and Ed Hammond. ... Division has been sold and it doesnt exists any more . More recently, it was rumored that PPG was interested in acquiring the company, but nothing has come of it. Axalta may sell for $40 a share, based on the 15-times earnings multiple paid by Sherwin-Williams Co. for Valspar Corp. earlier this year, he said. http://www.prnewswire.com/news-releases/axalta-coating-systems-announces-shelley-bausch-to-lead-global-industrial-coatings-business-301183109.html, These electric trucks are coming soon—here’s prices, how far they’ll go and how much they’ll tow, Chris Sacca mocks ‘Robinhood bros’ who spurn his investment advice: ‘Stonks never go down!’, The latest estimate of when Social Security will run out of money, Value or growth stocks? Price to Earnings Ratio vs. the Market. Indeed, PPG is reportedly looking at making an offer, and Akzo Nobel and Axalta previously discussed a merger in 2017, while private equity firms … Copyright © 2020 MarketWatch, Inc. All rights reserved. Axalta's LTM revenue dropped 3.3%, while operating income increased by 4.14%. The surprise departure was followed by that of the company’s finance chief, who also left for health reasons. previous chevron_left Next chevron_right. On Your Coatings Radar – California Lead Litigation Marathon Over On Your Coatings Radar – Axalta Once Again Enters the Acquisition Rumor Mill In February 2013, DuPont Performance Coatings was sold to the Carlyle Group and rebranded as Axalta Coating Systems LVP Paints is able to formulate paint to match Axalta Powder Coating colors for touch up application to prevent rust and to make scratches, hook marks, light spots, and items that can't be powder coating look new. Indeed, PPG is reportedly looking at making an offer, and Akzo Nobel and Axalta previously discussed a merger in 2017, while private equity firms are also believed to be circling the company. Read employee reviews and ratings on Glassdoor to decide if Axalta is right for you. The move to combine with Axalta comes as the clock counts down to Dec. 1, when Akzo Nobel’s rival-turned-suitor PPG could make another run for the company under Dutch takeover rules. Axalta employs 14,000 at its plants and paint labs worldwide, including its new central research and development facility at the Navy Yard business center and its Americas offices in Glen Mills. Manufacturing M&A began rebounding in Q3 2020, but dealmaking cooled off in Q4 2020 as COVID-19 started resurging across the U.S., Europe and Asia. Akzo Nobel didn't want to be be bought by PPG lndustries, so now the paints and coatings maker is trying to swallow Axalta. The move to combine with Axalta comes as the clock counts down to Dec. 1, when AkzoNobel’s rival-turned-suitor PPG could make another run for the company under Dutch takeover rules. "Shelley is a dynamic leader with experience managing complex product portfolios sold into diverse and fragmented industrial end markets. Axalta's share price … COVID-19 has disrupted dealmaking, from scenario planning to investing, and preparing for a previously envisioned future, but deal activity in the first half of 2021 will continue to recover from sector lows seen during the peak of the crisis. What Will 2021 Bring? Prior to the pandemic, companies were already considering ways they could diversify and lower their supply chain costs, and COVID-19 accelerated the need to do so. With more than 150 years of experience in the coatings industry, the global team at Axalta continues to find ways to serve our more than 100,000 customers in over 130 countries better every day with the finest coatings, application systems and technology. Such efforts could open the door to more M&A opportunities. ... Division has been sold and it doesnt exists any more . The P/E ratio of Axalta Coating Systems is 70.75, which means that it is trading at a more expensive P/E ratio than the market average P/E ratio of about 22.94. AkzoNobel successfully rebuffed an unsolicited $29 billion buyout offer this year, coming under intense shareholder pressure in the process from activist investor Elliott Management Corp., which had pushed for tie-up talks. View original content to download multimedia:http://www.prnewswire.com/news-releases/axalta-coating-systems-announces-shelley-bausch-to-lead-global-industrial-coatings-business-301183109.html, COMTEX_375403286/2454/2020-12-02T08:30:18. In order to provide complete functionality, this web site needs your explicit consent to store browser cookies. Axalta | 60,554 followers on LinkedIn. Axalta, CDR, and Platinum Equity didn’t respond to a request to comment. Shifting industry paths: As the pandemic forced shutdowns across the world, overall consumer spending and travel plummeted, leading to a softening of many industries. What sectors to watch in 2021, ‘Real Housewives of New Jersey’ star Melissa Gorga finally sold her ‘Scarface’ inspired mansion for $2.5 million. Bausch serves on the board of directors of the Kraton Corporation. The founding father of the automotive paint business is being laid to rest. Axalta could be valued at $49 a share, Seaport Global … DuPont Performance Coatings, rooted in the dawn of the Automobile Age, now sports a new name after the completion of its $4.9 billion sale to The Carlyle Group on Feb. 1, the companies announced Monday (Feb. 4).. Paul Elie is Industrial Products Deals leader, PwC US. Axalta Coating Systems is the leading provider of innovative products, services, and solutions designed to improve the efficiency and effectiveness of the vehicle refinish process. For more information, visit axalta.com and follow us @axalta on Twitter. Akzo Nobel didn't want to be be bought by PPG lndustries, so now the paints and coatings maker is trying to swallow Axalta. The company, formerly a unit of DuPont, would complement Akzo’s product lines, Michael J. Harrison, an analyst at Seaport Global Securities, said in a note. In February 2013, DuPont Performance Coatings was sold to the Carlyle Group and rebranded as Axalta Coating Systems LVP Paints is able to formulate paint to match Axalta Powder Coating colors for touch up application to prevent rust and to make scratches, hook marks, light spots, and items that can't be powder coating look new. Axalta shares fell $0.51 or 1.69% Monday to $29.64. She will lead our current Industrial Coatings businesses globally, which include energy solutions, coil, wood, general industrial and powder coatings, and drive expansion into new industrial coatings markets," said Robert W. Bryant, Axalta's President and CEO. Cons. Axalta Invests in Landshut, Germany, Facility for Bonded Metallic Powder Coatings PPG to Acquire Specialty Materials Manufacturer Dexmet Corporation STOCKMEIER Takes Over 100% of Quaron S.A.S. Axalta Coating Systems is the leading provider of innovative products, services, and solutions designed to improve the efficiency and effectiveness of the vehicle refinish process. Businesses and supply chains took a major hit, and moving forward, they must become smarter and more agile. If you don't allow cookies, you may not be able to use certain features of the web site including but not limited to: log in, buy products, see personalized content, switch between site cultures. From light vehicles, commercial vehicles and refinish applications to electric motors, building facades and other industrial applications, our coatings are designed to prevent corrosion, increase productivity and enhance durability. Businesses and industries around the globe have been upended by COVID-19—and manufacturing is no different. Overall, the manufacturing deal value and deal volume declined by a significant 40% and 28%, respectively, in 2020 compared to 2019. Axalta's share price … It was sold to the private-equity firm Carlyle Investment Management for $4.9 billion in early 2013, in what was at the time the largest-ever carve-out of a chemical business from a diversified chemical conglomerate and remains among the biggest of such deals; Carlyle carried out an initial public offering of Axalta in November 2014. According to Reuters, the partnership between PPG and CDR … Axalta employs 14,000 at its plants and paint labs worldwide, including its new central research and development facility at the Navy Yard business center and its Americas offices in Glen Mills. In 2017, Axalta and AkzoNobel explored a potential merger of the two global coatings companies. She is a valuable addition to our team, and I'm confident she will drive growth in our existing as well as new end-markets.". Axalta is the 17th largest public company in … According to a Reuters' story buyout firm Clayton, Dubilier & Rice LLC is in talks to partner with PPG Industries Inc to make an acquisition offer for Axalta Coating Systems Inc.. A representative for Kansai Paint didn’t immediately respond to a request for comment left outside of regular business hours. The most significant drop-offs in M&A activity were experienced when the pandemic took full effect in Q2 2020, with a 63% decline in deal value and 36% decline in deal volume, when compared to Q1 2020. "Shelley is an outstanding business leader with extensive experience in industrial products and coatings. The carve-out — which Akz Nobel said Monday remains on track for April 2018 and is unaffected by the merger discussions — comes with the return of 1 billion euros ($1.l6 billion) in special dividends to be issued in December. Axalta rose 10% this year through Tuesday, while a Russell 1000 materials index climbed 15%. Axalta, based in Philadelphia, makes automobile paints and coatings for auto parts. Axalta and PPG are global leaders in waterborne coatings (water replaces oil-derived solvents as the liquefying agent), which have been taking share in Europe, North America and Asia. Its corporate headquarters is located in Philadelphia, PA that develops and manufactures coatings for light and commercial vehicles, industrial, and refinish applications. Pros. Axalta is a global leader in the coatings industry, providing customers with innovative, colorful, beautiful and sustainable coatings solutions. crashtech Combo Man. The company attributes the rapid increase in recent sales mainly to a strong global digitization trend. The deal would combine the third- and fourth-ranked coatings manufacturers in a market that remains relatively fragmented, according to Bernstein analysts including Jeremy Redenius, who said it would make sense. | Singular focus on providing brilliant coatings sets us apart. Select a brand to browse the product catalog, or sign in if you are a registered distributor. Is there a problem with this press release? Bausch joins Axalta from the Carlisle Companies Inc., a manufacturer of engineered products used in roofing, architectural metal, aerospace, medical technologies, industrial, transportation, refinish, and agriculture, mining and construction equipment markets, where she has worked since 2017. She earned a B.S. Pros. PHILADELPHIA, Dec. 2, 2020 /PRNewswire/ -- Axalta Coating Systems Ltd. (NYSE: AXTA) today announced that Shelley Bausch is joining Axalta as Senior Vice President, Global Industrial Coatings, effective January 1, 2021. Axalta shares jumped 14 percent on the news to $29.52 a share, giving the company a market capitalization of about $7 billion. View the latest Axalta Coating Systems Ltd. (AXTA) stock price, news, historical charts, analyst ratings and financial information from WSJ. Shifting Gears to Electric: What to Think about Now. Importantly, the shift is being driven not only by environmental regulations but also economics given the higher productivity of waterborne coatings. Spies Hecker A division of Axalta, Spies Hecker is a German brand of automotive refinishing paint, and one of the largest suppliers of … Manufacturing end markets that have been hard-hit such as automotive and aerospace & defense will need to evaluate measures to maintain or improve their current positions. Reuters reported Downtown-based PPG could partner with private equity firm Clayton, Dubilier & Rice to acquire Warren Buffett-backed Axalta. Axalta, of which Warren Buffett’s Berkshire Hathaway Inc. is the largest shareholder, soared 17% in New York Friday after Reuters first reported the talks. All rights reserved. In 2017, Axalta was in merger talks with AkzoNobel and Nippon Paints. Governmental changes paired with COVID-19 resurgence could make capital markets more volatile, which would be unfavorable for dealmaking. Carlyle Group LP, which bought company from DuPont in February 2013, was open to bids alongside a planned initial public offering and investment bankers were pitching a deal to Akzo Nobel, the people said. As companies emerge from the pandemic, M&A activity in the sector will be fueled by access to emerging sources of capital, investment in innovation and the right-sizing of operations to meet new market demands of a post-pandemic world. The news comes three months after reports emerged that the Philadelphia-based Axalta was looking … According to Reuters, PPG Industries has partnered with private equity investor Clayton, Dubilier & Rice to consider acquiring Axalta Coating Systems. ... PPG. Where Do Color Trends Come From? Consolidation is very much the name of the game in this industry, so I expect Axalta to be prominent pick on any list of targets. Complicating the tie-up talks with Axalta is AkzoNobel’s planned separation of its 5 billion-euro ($5.82 billion) revenue specialty chemicals business, a transaction pledged by the Dutch company as it battled against PPG. The loss of these sites was deemed by the Dutch government and unions as not in the interest of stakeholders during the battle with PPG. in Business Administration, summa cum laude, from Alma College and an M.B.A. from the University of Michigan – Flint. Consolidation is very much the name of the game in this industry, so I expect Axalta to be prominent pick on any list of targets. Companies in the individual leisure space such as recreational vehicles, outdoor furniture and sporting equipment are positioned for success as local lockdowns are announced. Axalta has posted two straight quarters of profit declines amid rising costs for paint ingredients. More recently, it was rumored that PPG was interested in acquiring the company, but nothing has come of it. AkzoNobel successfully rebuffed an unsolicited $29 billion buyout offer this year, coming under intense shareholder pressure in the process from activist investor Elliott Management Corp., which had pushed for tie-up talks. Your Passion. In order to provide complete functionality, this web site needs your explicit consent to store browser cookies. Future of capital: 2020 was the year of SPACs, a driving force for M&A activity with more than 50% of all IPOs in the U.S. this year represented by SPAC IPOs. Global Paint Color Trends. The bid would come three months after Axalta said it would explore a sale. PPG said they don’t comment on rumors or speculation. Increased SPAC activity will continue in 2021 with areas such as EV-charging infrastructure, power storage and 3D printing. ICI other divison dont have much knowledge. The founding father of the automotive paint business is being laid to rest. Reviews from Axalta Coating Systems employees about Axalta Coating Systems culture, salaries, benefits, work-life balance, management, job security, and more. Citing people with knowledge of the matter, Reuters said joining forces with the buyout firm would enable PPG to get around any regulatory concerns which could be raised by an acquisition. Our Coatings. The company reported net sales of $4.1 billion last year and employs about 13,000 people. The discussion on the merger followed AkzoNobel’s rebuffing of an unsolicited merger offer from PPG Industries earlier in 2017. "I want to thank Dave Heflin for the strong results achieved during his interim stewardship of the Industrial portfolio, and I look forward to working with him as he continues to drive excellent results in our global liquid industrial business," continued Bryant. 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