Published By : 26 Dec 2017 | Published By : QYRESEARCH
Nippon Paint Holdings is aiming to shop for bigger acquisitions, including in the European region, to develop their business outside Japan amid an international consolidation among the largest coatings makers.
According to Yukiko Mochida, a spokeswoman for Nippon Pain Holdings, the company president Tetshushi Tadoh is planning to expand business through M&A in Europe and the U.S. along with the centered focus on China and other countries in Asia as a part of their mid-term plan. Tadoh’s comments about the matter were published earlier in the Nikkei newspaper.
Confirmation by company president about the Osaka-based paint manufacturer is trying to find new avenues of growth with the help of acquisition comes almost a month after its proposal for Axalta Coating Systems Ltd. – the world’s biggest manufacturer of coatings for car – could not reach to a meaningful conclusion. Axalta which is based out of Philadelphia, with an overall market valuation of US$8 billion, had declared earlier in December about being hopeful to play an important part in the consolidation state of the industry and is open for any acquisition or merger.
Nippon Paint has nearly 77 billion yen (US$679 million) in net cash as declared on September 30th by Bloomberg. Short term investments, equivalents, and cash all stood at about 135 billion yen.
The stock of the company fell around 13 percent in the previous month. However, it rose by 0.1 percent to 3650 yen on the morning break of 11.30 a.m. of Tokyo trading.