It has been a long-held view in the coatings industry that AkzoNobel and Axalta would someday merge. It was just too much of a perfect fit in terms of market positions. However, past attempts have never come to fruition.

However, that all changed on Nov. 18, 2025, when AkzoNobel and Axalta announced that they would be combining in a merger of equals. AkzoNobel is the third-largest paint and coatings company worldwide according to our 2025 International Top Coatings Companies Report; Axalta is the sixth-largest.

The combined company has $17 billion in revenue and an enterprise value of $25 billion, with a global footprint in more than 160 countries. The combination is expected to drive identified and actionable run-rate synergies of approximately $600 million.

The combined company will assume a new name and ticker symbol and will have headquarters in Amsterdam and Philadelphia. The companies expect the transaction to close in late 2026 to early 2027, subject to approval by shareholders of both AkzoNobel and Axalta and the receipt of requisite regulatory approvals.

As for the leadership of the new company, Rakesh Sachdev, current chair of the Axalta Board of Directors, will head the new board, with Ben Noteboom, current chair of the AkzoNobel Supervisory Board, serving as vice-chair. The board will have 11 directors – four from each company and three independent members.

“The Axalta Board is confident that this combination with AkzoNobel will create significant value for our shareholders as we move ahead,” Sachdev said in announcing the merger. “We look forward to joining Axalta’s and AkzoNobel’s strengths to create new opportunities across our global stakeholder base.”

“This combination represents a compelling opportunity,” Noteboom added. “It will create a world leader in coatings and is a significant step that will drive sustainable growth and allow us to better serve our customers. By uniting two world-class organizations, we’re creating a strong platform for the future, built on a solid foundation of shared values and heritage.”

AkzoNobel CEO Greg Poux-Guillaume, will serve as CEO of the combined company, and Axalta CEO Chris Villavarayan will be the deputy CEO. Carl Anderson, current Axalta SVP and CFO, will serve as the CFO of the combined company. Current AkzoNobel CFO Maarten de Vries will retire from AkzoNobel before closing, as previously announced.

During a press conference announcing the merger, Poux-Guillaume and Villavarayan discussed the rationale for the merger. Poux-Guillaume noted that past efforts to combine the companies did not work out.

“Everyone knows we are meant to be together, and our companies have tried to combine forces in the past,” said Poux-Guillaume. “Everybody knows these portfolios belong together. You have to have the alignment of the stars, where both companies are performing well, and both leadership teams have to be willing to combine the teams and have the best people and the best of both worlds. Our people are really excited about this.

“It is a merger of equals,” Poux-Guillaume added. “We want to focus on value creation. It is unlikely that someone will try to muscle in on this.”

“As our industry continues to evolve, we will be better positioned for growth,” Villavarayan said. “It really came down to value creation and putting these two platforms together. We have to continue to grow while not compromising on performance.

Villavarayan noted that this move has been under discussion for a while.

“Greg and I met at a conference two years ago, and we have been working on it for quite a while,” Villavarayan added. “Greg and I are focused on being balanced in terms of both companies in terms of an equity split perspective. There are no egos. We are looking forward to bringing these two companies together.”

Villavarayan pointed out that the combination is expected to generate pre-tax run-rate synergies of approximately $600 million.

“We see $600 million in synergies,” added v. “We will be ready to execute on this on day one. I’m supremely confident about these synergies. The focus on cost is built into our DNAs.”

Reasons Behind the Merger

Once completed, the merger will create a new company with leading positions in many key markets, beginning with the automotive OEM and refinish segments. AkzoNobel and Axalta are also strong in powder coatings and industrial coatings, and between them, the new company will have holdings in the aerospace, marine and decorative markets.

The two companies have approximately 100 well-known brands. They have 173 manufacturing sites and 91 R&D facilities globally, with 4,200 research fellows, scientists and engineers, and approximately 3,200 granted and pending patent applications

“The combination will enable AkzoNobel and Axalta to deliver increasingly advanced and differentiated products by combining existing technological capabilities across end markets. Joining Axalta’s Refinish, Light Vehicle and Commercial and Industrial Coatings businesses with AkzoNobel’s Powder Coatings, Refinish, Aerospace Coatings, Marine and Protective Coatings, Industrial Coatings and Decorative Paints businesses will create an innovative platform to deliver exceptional value to customers,” the companies noted in their joint release.

Once completed, the new company says it is anticipating revenues of $17 billion, adjusted EBITDA margins of nearly 20%, adjusted EBITDA of $3.3 billion and pro forma adjusted free cash flow of $1.5 billion.

Transaction Details

Under the terms of the agreement, which has been unanimously approved by the AkzoNobel Supervisory Board, the AkzoNobel Board of Management and the Axalta Board of Directors, Axalta shareholders will receive 0.6539 shares of AkzoNobel stock for each share of Axalta common stock owned. AkzoNobel shareholders will own 55% and Axalta shareholders will own 45% of the combined company on a pro forma basis immediately after closing.

In addition, AkzoNobel will pay a special cash dividend to AkzoNobel shareholders equal to €2.5 billion minus the aggregate amount of any regular annual and interim dividends paid by AkzoNobel to AkzoNobel shareholders in 2026 prior to completion.