Akzo Nobel NV: AkzoNobel to divest Paper Chemicals business to Kemira for €153 million

Akzo Nobel NV: AkzoNobel to divest Paper Chemicals business to Kemira for €153                                    million  July 8, 2014  AkzoNobel today announced the intended sale of its global Paper Chemicals business to Kemira for €153 million. Paper Chemicals is part of the company's Pulp and Performance Chemicals business and generated annual revenue of €243 million in 2013.  The intended sale of Paper Chemicals follows a strategic review of the business' fit within AkzoNobel's portfolio. Paper Chemicals is part of the Pulp and Performance business within AkzoNobel's Specialty Chemicals business area. It does not include AkzoNobel's Pulp Bleaching business, nor its Colloidal Silica business. For the paper related part of Colloidal Silica, the parties will enter into a distribution arrangement. The Pulp Bleaching business and the Eka name remain core for AkzoNobel's Specialty Chemicals business.  "We are very pleased to announce this project," said AkzoNobel CEO Ton Büchner. "Kemira is a well-established player in this market and, with the sale of our Paper Chemicals business, we are following through with our strategy to focus on leading positions."  Werner Fuhrmann, AkzoNobel's Executive Committee member responsible for Specialty Chemicals, added: "We have concluded that our Paper Chemicals business will have a better fit with another owner, allowing us to focus on our strong chemical platforms. The Pulp and Performance Chemicals business will continue to focus on global leadership positions in pulp bleaching, colloidal silica and expandable microspheres."  Jari Rosendal, President and CEO of Kemira, said: "The intended acquisition of AkzoNobel's global Paper Chemicals business is a major step for Kemira in implementing our strategic growth plans. It further demonstrates our commitment to the industry by extending our geographical presence in EMEA, the Americas and especially APAC."  The transaction is expected to be completed in approximately six months, subject to regular consultation with employee representatives and satisfactory closing conditions, such as receipt of required regulatory clearance. AkzoNobel will continue as toll manufacturer of certain products and will enter into an agreement with regards to the colloidal silica supply to Kemira.  - - -  AkzoNobel is a leading global paints and coatings company and a major producer of specialty  chemicals. We  supply industries  and consumers  worldwide  with  innovative products and  are passionate about  developing sustainable  answers  for our customers.  Our portfolio  includes well-known brands  such as  Dulux,  Sikkens, International and Eka.  Headquartered in Amsterdam, the  Netherlands,  we  are  consistently  ranked   as  one  of  the   leaders  in  the  area   of  sustainability. With operations in more  than 80 countries, our 50,000  people  around the world are committed to delivering leading products and technologies to meet the growing demands of our fast-changing world.  Not for publication - for more information  Corporate Media Relations Corporate Investor Relations T +31 (0)20 - 502 7833    T +31 (0)20 - 502 7854 Contact: Diana Abrahams   Contact: Sheryl Stokes    Safe Harbor Statement This press  release  contains statements  which  address key  issues  such  as  AkzoNobel's growth  strategy,  future  financial  results,  market  positions,  product development,  products in  the pipeline  and product  approvals.  Such  statements should be carefully  considered, and it  should be understood  that  many factors could cause  forecasted and actual results  to differ from  these  statements. These factors include, but are not limited to, price fluctuations, currency fluctuations,  developments  in  raw material  and  personnel  costs,  pensions, physical  and environmental  risks, legal  issues, and  legislative,  fiscal, and other regulatory measures. Stated competitive positions are  based  on management  estimates  supported  by information  provided  by  specialized  external agencies. For  a more  comprehensive discussion of  the risk  factors  affecting our business please  see our latest annual  report, a copy of  which  can be found on our website www.akzonobel.com  AkzoNobel Press Release Paper Chemicals  ------------------------------------------------------------------------------  This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf of NASDAQ OMX Corporate Solutions clients. The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein. Source: Akzo Nobel NV via Globenewswire HUG#1817410  
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