AkzoNobel and Axalta remain confident in an early 2027 merger completion, proposing a divestment of European vehicle refinish assets to resolve UK competition concerns.
The UK CMA raised Phase 1 competition concerns only about UK vehicle refinish coatings, but both companies propose the same remedy package already agreed with the European Commission (divestment of AkzoNobel's European and UK VR coatings business) and state they remain confident the merger will close by early 2027. For Axalta holders this reduces deal-break risk, though the CMA has not yet accepted the remedy.
The CMA's Phase 1 concerns are confined to UK vehicle refinish coatings, and AkzoNobel will remedy them by divesting its European VR coatings business including the UK — a package already agreed with the European Commission. The companies reaffirm completion by early 2027, supporting the deal case, though UK approval is not yet secured.
AkzoNobel and Axalta are addressing UK Competition and Markets Authority concerns regarding vehicle refinish coatings by proposing the same remedy package already accepted by the European Commission. The companies plan to divest AkzoNobel’s European vehicle refinish business to satisfy regulators and maintain their target to complete the merger by early 2027.
The companies say the CMA's concerns are limited to UK vehicle refinish coatings and that they will address them with the same remedy already agreed with the European Commission, remaining confident the merger completes by early 2027.
AkzoNobel will divest its European vehicle refinish coatings business, including the UK unit, as the remedy — the same package already agreed with the European Commission — and the companies still expect the merger to complete by early 2027.