AMSTERDAM Elliott Advisors, the activist investor with a three.twenty five percent stake in Akzo Nobel (AKZO.AS), mentioned on Tuesday other shareholders proudly owning practically a quarter of the Dutch paints and chemical compounds team want it to enter into talks with spurned U.S. suitor PPG Industries (PPG.N).
Akzo has turned down a 24.4 billion-euro ($26.4 billion) takeover present by PPG and declined to discuss to the U.S. organization to see if there was scope for a offer, expressing it would press ahead with a new proposal to spin off its chemical compounds division as a substitute.
But Elliott mentioned it commissioned London-primarily based shareholders’ advisory agency Boudicca Proxy to poll 300 institutional traders, about 50 percent of Akzo’s whole shareholder base, on no matter whether they considered Akzo ought to discuss with PPG.
50 percent of all those traders responded – accounting for about 24.6 percent of Akzo’s outstanding share cash – and practically all desired Akzo to open up talks, Elliott mentioned in a assertion.
Akzo Nobel spokesman Andrew Wooden mentioned the firm’s final decision not to have interaction with PPG was primarily based on using into thing to consider the interests of all the firm’s “stakeholders”, like not only shareholders but also workers and consumers, as demanded by Dutch regulation.
“We have a approach for generating extensive-phrase worth and we are wanting ahead to sharing that with traders” on April 19, he mentioned, referring to when administration are due to announce the approach.
Elliott mentioned in its assertion on Wednesday that Akzo ought to keep talks with PPG ahead of the strategy presentation so that “an trustworthy and aim thing to consider of the two alternatives can be built.”
Akzo’s share selling price was down .three percent at 77.34 euros by 0920 GMT on Wednesday, nicely beneath the implied worth of PPG’s share and money present of 89.seven euros.
(Reporting by Toby Sterling Modifying by Greg Mahlich)