Industries Australia Pty Ltd, a subsidiary of Australian coatings maker PPG Industries,
has agreed to acquire Barloworld Coatings Australia, the architectural paint unit
of the South Africa-based Barloworld Ltd, a multinational industrial brand management
company. The acquisition will be completed after the required regulatory approvals.
The terms of the buyout were not disclosed.
Coatings Australia is a leading maker of architectural and decorative paints,
and makes the Taubmans, Bristol and White Knight brands of architectural coatings.
Its production facilities are at Villawood, New South Wales, and Glen Waverley,
Victoria. The Glen Waverley plant will not be acquired, but will continue to manufacture
Barloworld brand products for PPG until production and distribution activities
are transferred to other locations.
company also has 85 company-owned stores, apart from a network of sole-brand distributors
and dealers. Barloworld paints are also sold through Bunnings, Australia''s largest
home-improvement chain of stores, apart from being exported to New Zealand. The
business employs around 750 people.
Industries Australia is a market leader in automotive, industrial, protective
and marine coatings. The subsidiary has plants in Clayton, Victoria, and Adelaide,
South Australia, and employs more than 800 people in Australia. After the Barloworld
acquisition, PPG becomes the largest coatings manufacturer in Australia.
are continuing to accelerate our profitable growth in coatings by making strategic
acquisitions," said J Rich Alexander, senior vice president, coatings, for
PPG. Greg DeCamp, managing director, Australia and New Zealand, said, "The
acquisition of Barloworld Australia will enable PPG to enter the wider architectural
year, PPG acquired Protec Pty Ltd, Adelaide, a manufacturer and distributor of
automotive refinish coatings and light industrial and high-performance coatings.
Later in 2006, PPG acquired the performance coatings and finishes business of
Ameron International Corporation, Pasadena, California, which also had operations
in Australia and New Zealand.
PPG is a global supplier of paints, coatings, chemicals, optical products,
specialty materials, glass and fibreglass. The company employs more than 34,000
people and has 125 manufacturing facilities and equity affiliates in more than
25 countries. Sales in 2006 were $11 billion. PPG shares are traded on the New
York and Philadelphia stock exchanges.