AkzoNobel To Sell Building Adhesives Business - Quick Facts

(RTTNews) - AkzoNobel N.V.(AKZOY.PK, AKZOY), a paints and coatings company and a maker of specialty chemicals Thursday said it received a binding offer from Swiss-based Sika AG to buy its Building Adhesives business for 260 million euros. The deal is expected to be completed in the fourth quarter. The proceeds from the deal will be used to repay short-term debt and improve liquidity.

AkzoNobel CEO Ton Büchner said, "We want to focus our Decorative Paints business at AkzoNobel on the strong strategic paint positions we have in Europe and the growth markets of Asia and South America. The intended sale of Building Adhesives is in line with this strategy."

Post the transaction, all of about 550 employees of Building Adhesives, and two manufacturing facilities in Germany and France and its products will be transferred to Sika AG.

Building Adhesives had generated annual revenues of 185 million euros in 2012.