Recently, AkzoNobel completed the acquisition of the Chinese decorative paints business of Sherwin-Williams. The acquisition includes Sherwin-Williams’s Chinese decorative paints brand, Huarun Paint, and related business (except the industrial wood coatings business) as well as its architectural coatings production base in Guangdong. The business has an annual revenue of about €100m and employs around 300 people.
With a portfolio of well-known brands – including Dulux, Levis, and Sikkens, AkzoNobel is active in more than 150 countries and regions and is widely trusted by customers around the globe. Huarun Paint was founded in 1991 in Shunde, Guangdong. The brand was acquired by Valspar in 2006 and has become a brand of Sherwin-Williams when it bought Valspar in 2017. Huarun Paint mainly engages in the research and development, manufacturing, and sales of home deco products and architectural coatings. After the deal, Huarun Paint will form a synergy with Dulux to provide customers with more diversified products in both retail and project channels, thus delivering growth ambitions in tier three to tier five geographical areas in China. This is a move highly in line with AkzoNobel's strategic goals and will help strengthen its presence and influence in the Chinese market.
King & Wood Mallesons (KWM) acted as counsel for AkzoNobel. The KWM team was involved in the whole process of the bidding and acquisition from the beginning of the deal at the end of 2022 to August 2023, providing services in areas of legal due diligence, transaction structuring, negotiation and revision of transaction documents, and closing. The team also assisted AkzoNobel with the merger filing clearance in China. By providing efficient, professional and high-quality services, the team well managed the risks, safeguarded the client’s core interests, and helped the client win from other potential buyers and complete the deal.
The team was led by Morgan Jiang, with assistance from Chai Zhifeng and Ding Xianjie on antitrust and IP aspects respectively. The team members include Gu Xiangjun, Wu Weimin, Zhou Xinyi, Guo Wenqing, Chen Xuekun, Zhao Yiming, and Zhao Feiyan.
