Akzo Nobel Pakistan: IGI Holdings subsidiary eyes full acquisition

KARACHI: IGI Holdings Limited has announced that its wholly owned subsidiary, IGI Investments (Private) Limited, has received in-principle approval from its Board of Directors to begin evaluation and due diligence for a potential acquisition of Akzo Nobel Pakistan Limited, a prominent unlisted public company engaged in the manufacturing and sale of paints and coatings.

According to a disclosure submitted to the Pakistan Stock Exchange (PSX) on Tuesday, the potential deal, referred to as the “Proposed Transaction”, could see IGI Investments acquire up to 100 percent shareholding in Akzo Nobel Pakistan.

The transaction structure under review envisions the acquisition of up to 98.3 percent of shares held by ICI Omicron B V, a wholly owned subsidiary of Akzo Nobel N V, which is the substantial shareholder of Akzo Nobel Pakistan. The remaining 1.7 percent shareholding would be sought from the company’s minority shareholders.

IGI Holdings emphasised that the proposed acquisition remains exploratory at this stage and is subject to the fulfilment of several key conditions, including the completion of satisfactory due diligence, negotiation of a final purchase price, and execution of a definitive agreement with ICI Omicron BV.

The transaction will also require corporate and regulatory approvals, in addition to compliance with all applicable legal and statutory frameworks.

To move forward, the Board of Directors of IGI Investments has authorized its Chief Executive Officer and designated directors to jointly and/ or singly undertake all necessary steps under applicable laws. This includes negotiating terms, finalizing the transaction structure, and appointing legal and financial advisors to assist with the due diligence process.

Copyright Business Recorder, 2025