PPG completes acquisition of AkzoNobel's N American coatings business
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JUNE 2013 3 FOCUS ON POWDER COATINGS free from blooming, with excellent film smoothness and good storage stability. The hybrid powder coatings are suitable for indoor applications only. There is a need for even lower bake powder coating systems for use on heat sensitive substrates such as wood and plastic. The DSM approach to this problem is to produce a powder coating formulation that can be processed in an extruder and cured at temperatures ranging from 100°C to 130°C for 20 to 5 minutes respectively. This system consists of an unsaturated polyester resin combined with a semi-crystalline vinyl ether based co-agent (Uracross P 3307) that reacts by radical initiated polymerization. The selected organic peroxides are dilauroyl peroxide, dibenzoyl peroxide from the group of diacyl peroxides, and tert-butyl peroxybenzoate, which is chemically a peroxyester. DSM believes that this system can be finely tuned to coat a range of heat sensitive substrates, and its development work will continue along these lines for years to come. Paper entitled “Low Bake Technologies for Powder Coatings: A Technical Up-date” by Priscilla Lips of DSM Coatings Resins, The Netherlands, presented as a poster presentation at the European Coatings Show 2013 held in Nuremberg, Germany, 18-19 Mar 2013, by The Vincentz Network INDUSTRY NEWS PPG completes acquisition of AkzoNobel’s N American coatings business AkzoNobel has completed the sale of its N American decorative paint and coatings division to PPG at a cost of $1.05 bn (around €820 M). This strengthens PPG’s lead on the market. According to AkzoNobel, the business had a turnover of €1.19 bn ($1.5 bn) and an ebitda of €19 M. This was an improvement on 2011 when the activity had a loss of €69 M on sales of €1.09 bn. PPG has restructured its activities, with coatings accounting for 85% of total turnover ($15.2 bn) in 2012 compared with 57% of total sales of $11 bn in 2006. The group sold its commodity chemicals division to Georgia Gulf in 2012. A table gives world market for 7 coatings sectors and the position on each of the sectors for PPG, AkzoNobel, Sherwin-Williams, DuPont, Valspar and BASF. The world market was split as follows: decorative $43 bn, industrial coatings $25 bn, marine coatings $12 bn, automotive original equipment manufacturer $7 bn, repair $6 bn, packaging $3 bn and aerospace $2 bn. PPG is world leader for automotive OEM and repair and aerospace coatings as well as being world leader overall. AkzoNobel is market leader for industrial and marine coatings. Sherwin-Williams leads on the decorative paints sector. Valspar is market leader for packaging coatings. PPG is ranked second in the US for decorative paints. Original Source: Chimie Pharma Hebdo, 8 Apr 2013, (629), (Website: http://www.industrie.com/chimie) (in French) © ETAI Information 2013 Higher net profit but lower turnover forecast for AkzoNobel in 1Q 2013 Analysts are on average predicting a net profit of €102 M for AkzoNobel in 1Q 2013, compared with €85 M in 1Q 2012. Turnover is expected to fall from €3.97 bn to €3.64 bn. The company itself is forecasting a 20% increase in net profit, thanks to cost savings and lower raw material prices, but a fall in turnover. Original Source: Het Financieele Dagblad, 17 Apr 2013, (Website: http://www.fd.nl/) (in Dutch) © Het Financieele Dagbad 2013 AkzoNobel expects continuing weak demand, improvement programme to save €500 M/y AkzoNobel’s chief financial officer believes that end markets will remain weak, especially in Europe, though positive seasonal effects are expected in 2Q and 3Q 2013. Turnover was down 7% and operating profit down 8% in 1Q 2013. AkzoNobel is currently working on efficiency improvements which should boost operating results up to the new target for 2015. An important element in the restructuring is the centralization of office functions. Processes and methods will be standardized, thus reducing complexity and increasing uniformity. The improvement programme should lead to savings of €500 M/y by the end of 2013. AkzoNobel reported an operating result of €217 M for 1Q 2013, compared with €236 M for 1Q 2012, the decrease being mainly due to weak market conditions and problems in the production of speciality chemicals. Turnover was down from €3.71 bn to €3.47 bn, primarily because of weak demand in Europe and disinvestment, particularly in Pakistani operations. Analysts had predicted €3.64 bn. Turnover fell in all 3 divisions, with Decorative Paints recording a 5% decrease to €925 M, Performance Coatings down 3% to €1.33 bn, and Speciality Chemicals down 11% to €1.24 bn. Original Source: Het Financieele Dagblad, 18 Apr 2013, (Website: http://www.fd.nl/) (in Dutch) © Het Financieele Dagblad 2013 Asian Paints 3Q 2012 net profit at Rup 335 crore Asian Paints registered a net profit of Rup 335 crore in 3Q ended 31 Dec 2012, up 30% from Rup 256 crore in the same year- ago period. The positive result could be attributed to the firm’s improved distribution, renewed focus in brand building and marketing activities. Consolidated
Transcript of PPG completes acquisition of AkzoNobel's N American coatings business
JUNE 2013 3
F O C U S O N P O W D E R C O A T I N G S
free from blooming, with excellentfilm smoothness and goodstorage stability. The hybridpowder coatings are suitable forindoor applications only.
There is a need for even lowerbake powder coating systems foruse on heat sensitive substratessuch as wood and plastic. TheDSM approach to this problem isto produce a powder coatingformulation that can be processedin an extruder and cured attemperatures ranging from 100°Cto 130°C for 20 to 5 minutesrespectively. This system consistsof an unsaturated polyester resincombined with a semi-crystallinevinyl ether based co-agent(Uracross P 3307) that reacts byradical initiated polymerization.The selected organic peroxidesare dilauroyl peroxide, dibenzoylperoxide from the group of diacylperoxides, and tert-butylperoxybenzoate, which ischemically a peroxyester.
DSM believes that this systemcan be finely tuned to coat arange of heat sensitive substrates,and its development work willcontinue along these lines foryears to come.
Paper entitled “Low Bake Technologies forPowder Coatings: A Technical Up-date” byPriscilla Lips of DSM Coatings Resins, TheNetherlands, presented as a posterpresentation at the European Coatings Show2013 held in Nuremberg, Germany, 18-19Mar 2013, by The Vincentz Network
INDUSTRYNEWS
PPG completes acquisition ofAkzoNobel’s N American coatingsbusiness
AkzoNobel has completed thesale of its N American decorativepaint and coatings division toPPG at a cost of $1.05 bn(around €820 M). Thisstrengthens PPG’s lead on themarket. According to AkzoNobel,the business had a turnover of
€1.19 bn ($1.5 bn) and an ebitdaof €19 M. This was animprovement on 2011 when theactivity had a loss of €69 M onsales of €1.09 bn. PPG hasrestructured its activities, withcoatings accounting for 85% oftotal turnover ($15.2 bn) in 2012compared with 57% of total salesof $11 bn in 2006. The groupsold its commodity chemicalsdivision to Georgia Gulf in 2012.A table gives world market for 7coatings sectors and the positionon each of the sectors for PPG,AkzoNobel, Sherwin-Williams,DuPont, Valspar and BASF. Theworld market was split as follows:decorative $43 bn, industrialcoatings $25 bn, marine coatings$12 bn, automotive originalequipment manufacturer $7 bn,repair $6 bn, packaging $3 bnand aerospace $2 bn. PPG isworld leader for automotive OEMand repair and aerospacecoatings as well as being worldleader overall. AkzoNobel ismarket leader for industrial andmarine coatings. Sherwin-Williamsleads on the decorative paintssector. Valspar is market leaderfor packaging coatings. PPG isranked second in the US fordecorative paints.
Original Source: Chimie Pharma Hebdo, 8 Apr 2013, (629), (Website:http://www.industrie.com/chimie) (in French)© ETAI Information 2013
Higher net profit but lowerturnover forecast for AkzoNobel in1Q 2013
Analysts are on averagepredicting a net profit of €102 Mfor AkzoNobel in 1Q 2013,compared with €85 M in 1Q2012. Turnover is expected to fallfrom €3.97 bn to €3.64 bn. Thecompany itself is forecasting a20% increase in net profit, thanksto cost savings and lower rawmaterial prices, but a fall inturnover.
Original Source: Het Financieele Dagblad, 17 Apr 2013, (Website: http://www.fd.nl/) (inDutch) © Het Financieele Dagbad 2013
AkzoNobel expects continuingweak demand, improvementprogramme to save €500 M/y
AkzoNobel’s chief financial officerbelieves that end markets willremain weak, especially inEurope, though positive seasonaleffects are expected in 2Q and3Q 2013. Turnover was down 7%and operating profit down 8% in1Q 2013. AkzoNobel is currentlyworking on efficiencyimprovements which should boostoperating results up to the newtarget for 2015. An importantelement in the restructuring is thecentralization of office functions.Processes and methods will bestandardized, thus reducingcomplexity and increasinguniformity. The improvementprogramme should lead to savingsof €500 M/y by the end of 2013.
AkzoNobel reported anoperating result of €217 M for 1Q2013, compared with €236 M for1Q 2012, the decrease beingmainly due to weak marketconditions and problems in theproduction of speciality chemicals.Turnover was down from €3.71 bnto €3.47 bn, primarily because ofweak demand in Europe anddisinvestment, particularly inPakistani operations. Analysts hadpredicted €3.64 bn. Turnover fellin all 3 divisions, with DecorativePaints recording a 5% decreaseto €925 M, Performance Coatingsdown 3% to €1.33 bn, andSpeciality Chemicals down 11%to €1.24 bn.
Original Source: Het Financieele Dagblad, 18 Apr 2013, (Website: http://www.fd.nl/) (inDutch) © Het Financieele Dagblad 2013
Asian Paints 3Q 2012 net profit atRup 335 crore
Asian Paints registered a netprofit of Rup 335 crore in 3Qended 31 Dec 2012, up 30% fromRup 256 crore in the same year-ago period. The positive resultcould be attributed to the firm’simproved distribution, renewedfocus in brand building andmarketing activities. Consolidated
