Strategy to accelerate growth and value creation
AkzoNobel has a strong track record of delivering on commitments to shareholders and other stakeholders.
Step change in growth and long-term value creation
On April 19, 2017, AkzoNobel unveiled a new strategy to create two focused, high-performing businesses with sustainable growth plans within 12 months.
Accelerating momentum and enhance profitability
AkzoNobel has consistently delivered on commitments to improve profitability and growth, while building momentum within the company. We have world-class teams and a solid financial and operational foundation.
AkzoNobel has a new strategy to accelerate growth and value creation with two focussed, high-performing businesses – Paints and Coatings and Specialty Chemicals – which will lead to a step change in value creation for shareholders and all stakeholders.
- The next phase builds on our strong financial and operational foundation.
- It will generate superior, faster and more certain value creation than the alternatives and with substantially fewer risks, uncertainties and social costs.
Two focused businesses
Two independent, high-performing businesses will take our company to the next level.
It can also accelerate growth and value creation:
- Above market growth rates
- Clear customer focus
- World class global brands
- Market leading innovation
- Teams with proven track record
- Market specific capabilities
- Differentiated capital and resource allocation
- Targeted acquisitions
- Clean valuation from the financial markets
This strategy will unlock value for shareholders without the risks and uncertainties associated with the transaction proposed by PPG
Increasing returns to shareholders
Having two separate businesses will enable us to deliver superior growth and value, with enhanced cash returns to shareholders.
- 50% increase in 2017 to the regular dividend to €2.50 per share, reinforcing confidence in the future plan to further drive growth and profitability
- Vast majority of net proceeds from the separation of Specialty Chemicals to be returned to shareholders
- €1 billion special dividend to be paid in November 2017 reflecting confidence in the planned separation
Clear separation within 12 months
Now is the right time to create two focused, high-performing businesses. This strategy will create substantial value for shareholders with significantly less risks and uncertainties compared to alternatives.
- Project teams are in place for the separation of the Specialty Chemicals business
- There will be a dual-track process with active consideration of a separate listed entity or sale
- There will be a focused Paints and Coatings business, with fit-for-purpose structure and processes