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PPG to Acquire Powder Coatings Manufacturing Business of Arsonsisi

By: via Business Wire

Transaction will expand capability to produce more sustainable coatings, including metallic bonding powder

PPG (NYSE: PPG) today announced that it has entered into an agreement to acquire the powder coatings business of Arsonsisi, an industrial coatings company based in Milan, Italy. The transaction is expected to close in the first quarter of 2022, subject to customary closing conditions. Financial terms were not disclosed.

Arsonsisi is a leading supplier of specialty powder coatings for the architectural and industrial markets. Powder coatings are a highly sustainable product offering with enhanced durability, transfer efficiency and the ability to be reclaimed or reused during application. As part of the transaction, PPG will acquire Arsonsisi’s highly automated, small- and large-batch capable, powder manufacturing plant in Verbania, Italy. In 2021, the Arsonsisi powder business had sales of approximately $15 million.

Upon completion, the acquisition enables PPG to expand its powder coatings offering in the Europe, Middle East and Africa (EMEA) region to include metallic bonding, one of the fastest growing markets for powder coatings often used in specialty finishes for automotive, appliance and general industrial applications. The acquisition aligns with PPG’s goal to have 40% of its sales by 2025 from sustainably advantaged products.

“Already recognized as an innovator in powder coatings, PPG has demonstrated leadership through powder advancements, including edge coverage and fluoroethylene vinyl ether (FEVE) fluoropolymer coatings for architectural metals,” said Michael Shukov, PPG general manager, industrial coatings, Europe, Middle East and Africa. “PPG is the only total solution provider who can supply and service powder and all other coatings technologies. We are pleased that the addition of this business will offer our EMEA customers expanded powder coating options to meet increasing demand for these sustainably advantaged coatings.”

Powder coatings are one of the fastest growing coating technologies due to their sustainability benefits and excellent performance properties. Powder coatings do not release solvents given their low-VOC nature and are fully reusable, meaning paint that is not deposited on a substrate during application returns to the paint system to reduce waste. In an ongoing commitment to sustainable innovations that exceed customer needs, PPG is investing in powder capabilities across the globe.

“We are proud that PPG has chosen to invest in the field of powder coatings by acquiring Arsonsisi’s powder coating division,” said Carlo Junghanns, Chairman of Arsonsisi S.p.A..“We have confidence in PPG’s commitment to carry on our legacy, and in their ability to continue to supply our loyal customers with the high-performance powder coatings they require.”

Forward-Looking Statements

The forward-looking statements contained herein include statements relating to the timing of and expected benefits of the Aronsisi acquisition. Actual events may differ materially from current expectations and are subject to a number of risks and uncertainties, including the satisfaction of the conditions of the acquisition, and other risks related to completion of the acquisition and actions related thereto; the parties’ ability to complete the acquisition on the anticipated terms and schedule, including the ability to obtain regulatory approvals; the ability of PPG to achieve the expected benefits of the acquisition; and the other risks and uncertainties discussed in PPG’s periodic reports on Form 10-K and Form 10-Q and its current reports on Form 8-K filed with the Securities and Exchange Commission.

PPG: WE PROTECT AND BEAUTIFY THE WORLD™

At PPG (NYSE: PPG), we work every day to develop and deliver the paints, coatings and specialty materials that our customers have trusted for more than 140 years. Through dedication and creativity, we solve our customers’ biggest challenges, collaborating closely to find the right path forward. With headquarters in Pittsburgh, we operate and innovate in more than 75 countries and reported net sales of $16.8 billion in 2021. We serve customers in construction, consumer products, industrial and transportation markets and aftermarkets. To learn more, visit www.ppg.com.

We protect and beautify the world is a trademark and the PPG Logo is a registered trademark of PPG Industries Ohio, Inc.

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