Deals
Akzo's Court Win Against Elliott Shifts Focus to PPG's Next Move
- Dutch judge rejects shareholder bid to oust Akzo chairman
- PPG renews calls for talks with Akzo in takeover battle
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Akzo Nobel NV’s court victory against activist shareholder Elliott Management Corp. has strengthened the Dutch paintmaker’s hand in resisting a takeover approach from suitor PPG Industries Inc. and put pressure on the U.S. rival to take its offer directly to investors.
The Commercial Court of the Netherlands ruled late Monday that Akzo Nobel is under no obligation to honor demands from shareholders led by the New York-based fund for a vote on removing Chairman Antony Burgmans, seen as an obstacle to negotiations. Judge Gijs Makkink said the company didn’t have to involve investors in decisions regarding the unwanted bids from PPG and was within its rights to reject talks.