The deal, valued at $1.05 billion, is expected to close in second quarter 2013. PPG said AkzoNobel is the leading architectural coatings company in Canada and one of the leaders in the Caribbean.
Leading AkzoNobel brands involved in the deal include Glidden, Flood, Liquid Nail, Sico and Cil. PPG will also license the brands Dulux, Devoe and Sikkens.
PPG Industries, founded in 1883 as the Pittsburgh Plate Glass Co., is a global supplier of paints, coatings, optical products, specialty materials, chemicals, glass and fiberglass. Its products include PPG Pittsburgh Paints and Olympic Paints brands in North America.
"This acquisition continues the accelerated pace of our business portfolio transformation through further expansion of our coatings businesses," Charles E. Bunch, PPG chairman and chief executive officer, said Friday in a statement. "It is also an attractive way to significantly increase our scale in the North American architectural paint market, which we anticipate will benefit from a prolonged construction market recovery."
The acquired business had 2011 revenues of about $1.5 billion, PPG said. The acquisition includes the addition of about 600 AkzoNobel-owned paint stores, which will give PPG a combined network of about 1,000 company-owned stores serving the North American market.
"It also complements PPG's national home center strategy by extending our branded paint product offerings to more than 8,000 retail outlets," Bunch said.
Notable deaths of 2014 [PHOTOS]