Shareholders of Dutch paint and coatings giant AkzoNobel have approved all resolutions relating to the proposed all-share merger with its smaller rival Axalta Coating Systems, at the company’s Extraordinary General Meeting.
The resolutions cover the merger, amendments to the company’s Articles of Association, authorisation to issue shares in connection with the merger, proposed appointments to the board of directors and the proposed remuneration policy.
Axalta also held a Special General Meeting, where shareholders voted in favour of the merger. With shareholder approval now secured at both companies, the transaction moves into its next phase.
The merger remains subject to regulatory approvals and other customary closing conditions. If those requirements are met, the transaction is expected to complete at the end of 2026 or the beginning of 2027. It’s estimated the cross-border deal will create a coatings company valued at around $25bn.
The news comes three weeks after rival Nippon Paint Holdings offered €7.5bn to acquire AzoNobel’s decorative coatings business – the latest attempt by the Japanese firm to scupper the Axalta deal, first mooted in 2025.
Commenting on the outcome, AkzoNobel CEO Greg Poux-Guillaume – who will serve as CEO of the combined company – says: “Today’s vote represents a significant milestone towards bringing together two highly complementary businesses. It gives us a clear mandate to realise our vision of a stronger, more innovative global coatings leader which will deliver outstanding long-term value for customers, employees and shareholders.”
Ben Noteboom, chair of AkzoNobel’s supervisory board, who will serve as vice-chair of the combined company, adds: “We’re delighted that shareholders have backed our ambitious growth plans and share our vision for what the two companies can achieve together. We can now move into the final phase of the merger process with confidence and begin to unlock the value of our full combined potential. We also thank our shareholders, employees, customers and other stakeholders for their continued support.”
The merger comes at a time of uncertainty for coatings firms, with issues including stringent regulations, demands for more fuel savings, data validation and global supply chain problems all putting pressure on the sector.
In September 2024, AkzoNobel confirmed around 2,000 job cuts worldwide as it attempted to slash its costs.
Further information about the proposed merger and the resolutions approved at the EGM is available on AkzoNobel’s website. An overview of the voting results will also be published there.
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