Akzo CEO Signals Axalta Merger Approvals Are Imminent
AXTA sits 36% above its 52-week low of $24.937.
Summary
AkzoNobel's CEO said regulatory approvals for the all-share merger with Axalta should arrive soon, the clearest timing signal yet on the deal's final gating item, and said a unit sale is required to get EU approval for the merger. Shareholders already approved the combination at the August 5 special meeting, and EU antitrust regulators were reported in early October as expected to clear it with conditions. Axalta has been lining up remedies, including the October 20 disclosure that it plans to divest its North American Building Products business to satisfy regulators. Approval removes the main remaining obstacle to closing, though the shareholder lawsuits filed in late July challenging the merger proxy remain an overhang.
At the time of this announcement, AXTA was trading at $34.01 on NYSE in the Manufacturing sector, with a market capitalization of approximately $7.2B. The 52-week trading range was $24.94 to $38.61. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Dow Jones Newswires.