PPG finalizes agreement to purchase Dyrup A/S, sets January closing date
PITTSBURGH, Oct. 18, 2011 – PPG Industries (NYSE:PPG) announced today that it has finalized the purchase agreement to acquire European coatings company Dyrup A/S, based in Copenhagen, Denmark, from its owner, Monberg & Thorsen, a public holding company. The final transaction value, including assumed debt, has been set at €115 million ($160 million), based on final due diligence. Both parties have agreed on a closing date of Jan. 5, 2012.
“Once finalized, the acquisition of Dyrup will enable PPG to continue to expand its geographic reach within Europe as well as its product portfolio to include Dyrup’s established strong brands, particularly in wood care products,” said J. Rich Alexander, PPG executive vice president who leads all of the company’s architectural coatings businesses. “We look forward to integrating Dyrup and its many highly skilled employees into our European business and to securing the future for Dyrup’s brands and customers.”
Viktor R. Sekmakas, president, PPG Europe, added that the acquisition “will help to grow PPG’s presence in key countries such as Poland, France and Denmark, and to establish PPG in Portugal, Spain and Germany, where PPG today has little or no architectural coatings presence. We look forward to completing the transaction in early January 2012.”
Jørgen Nicolajsen, president and CEO, Monberg & Thorsen, said, “We are pleased that we have now reached a final and binding agreement with PPG following the due diligence process. Dyrup and PPG represents a strong strategic combination with possibilities for further growth and synergies.”
Dyrup, a European producer of architectural coatings and specialty products, had 2010 sales of approximately €190 million ($270 million). It employs about 950 people and operates six manufacturing facilities in Europe. Dyrup’s brands include Bondex, Gori and Xylophene, and its products are sold primarily in Denmark, France, Germany, Portugal, Poland and Spain through professional and do-it-yourself channels.
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PPG Industries' vision is to continue to be the world’s leading coatings and specialty products company. Through leadership in innovation, sustainability and color, PPG helps customers in industrial, transportation, consumer products, and construction markets and aftermarkets to enhance more surfaces in more ways than does any other company. Founded in 1883, PPG has global headquarters in Pittsburgh and operates in more than 60 countries around the world. Sales in 2010 were $13.4 billion. PPG shares are traded on the New York Stock Exchange (symbol:PPG). For more information, visit www.ppg.com.
Statements in this news release relating to matters that are not historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 reflecting the company’s current view with respect to future events or objectives and financial or operational performance or results. The forward-looking statements contained herein include statements relating to the timing and expected benefits of the acquisition. Actual events may differ materially from current expectations and are subject to a number of risks and uncertainties, including the failure to achieve the expected benefits of the acquisition and the other risks and uncertainties discussed in PPG Industries’ periodic reports on Form 10-K and Form 10-Q, and its current reports on Form 8-K filed with the Securities and Exchange Commission. Forward-looking statements speak only as of the date of their initial issuance, and PPG Industries does not undertake any obligation to update or revise publicly any forward-looking statement, whether as a result of new information, future events or otherwise.
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