AMSTERDAM (Reuters) - Dutch paints and coatings maker Akzo Nobel said on Monday it had given up its effort to buy Finnish peer Tikkurila, four days after U.S. rival PPG Industries had topped its bid.
Akzo Nobel entered the race for Tikkurila last month with a 1.4 billion euros ($1.7 billion) bid, which at the time was 13% higher than the amount PPG offered.
But PPG’s move last week to up its bid to 1.5 billion euros meant it no longer made sense for Akzo Nobel to stay in the race, Chief Executive Thierry Vanlancker said.
“The intended acquisition of Tikkurila can no longer compete with more attractive opportunities to create value,” the CEO said in a statement.
Akzo Nobel’s bid for the Finnish firm had been viewed by analysts as relatively high, although Vanlancker had said it was based on “rational” calculations.
He denied suggestions that Akzo Nobel’s bid was mainly aimed at defending itself against PPG, which in 2017 dropped a $26.5 billion offer for Akzo after repeated rejections from the company and legal defeats.
($1 = 0.8303 euros)
Reporting by Bart Meijer; Editing by Edmund Blair
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