PPG issued the following statement, on April 19, in connection with its proposal to AkzoNobel to form a combined company:
PPG has listened carefully to AkzoNobel's new strategic plan and we continue to believe in the merits of combining the two companies. PPG believes that AkzoNobel’s new strategic plan will be more risky and create more uncertainty for AkzoNobel stakeholders including employees and pensioners, as Akzo's revised strategy would create two smaller, unproven companies and result in additional restructuring.
PPG has a proven, demonstrated record of executing on strategic actions and driving performance and growth and we continue to believe that a combination of PPG and AkzoNobel is in the best interest of all stakeholders. The combined company will be much better positioned to take advantage of the opportunities in our markets and deliver superior shareholder returns.
PPG’s proposal would create more value, as it provides an immediate cash payout far in excess of AkzoNobel’s special dividend and is supplemented with PPG shares. PPG has a proven track record of delivering superior shareholder returns over the last 5-year and 10-year periods and we believe past performance remains the best predictor of future performance.
By listening to our shareholders and delivering innovative products that enable our customers to be more successful, PPG has consistently delivered value in excess of the S&P 500 average. We have not heard anything today that changes our belief in the value of combining the two companies and now is the time for a complete review and full consideration of our compelling offer to combine PPG and AkzoNobel. We will be stronger together.
To learn more about PPG, visit www.ppg.com.