Dulux paint maker AkzoNobel and US peer Axalta Coating Systems have offered remedies in an effort to secure EU antitrust approval for their $25 billion merger, a European Commission filing showed on Friday, Reuters reported.
The companies put in their offer on Thursday, automatically triggering a 10 working day extension of the Commission's deadline to November. The EU competition enforcer did not provide details of the concessions in line with its policy.
The companies will offer to sell AkzoNobel's vehicle refinish business to address competition concerns and expect to secure EU clearance at the end of the preliminary review, sources told Reuters last week. MLex reported that the companies have offered to sell AkzoNobel's vehicle-refinish business in Europe to ease EU concerns over the planned merger.
The Commission is expected to seek feedback from rivals and customers before deciding whether to give the deal the green light, demand more or open a full-scale investigation.
Axalta exclusively makes coatings, with a strong presence in the US market. BASF's coatings business, Nippon Paint, Sherwin-Williams and Kansai Nerolac compete with AkzoNobel and Axalta, Reuters reported.