The Commission has cleared under the EU Merger Regulation the proposed acquisition of Dutch-based SigmaKalon by PPG of the US. Both companies are active, inter alia, in the manufacture of coatings. After examining the operation, the Commission concluded that the transaction would not significantly impede effective competition in the European Economic Area (EEA) or any substantial part of it.
PPG Industries, Inc. is a diversified manufacturer and worldwide producer of coatings, sealants, adhesives, metal pre-treatment products and industrial and specialty chemicals.
SigmaKalon (BC) HoldCO B.V. is a manufacturer of decorative, industrial, and protective and marine coatings in Europe and other selected international markets.
The Commission's investigation focused on the various coatings markets where the parties are active, namely decorative coatings, protective coatings, marine coatings, metal coatings, coil coatings, packaging coatings and refinish automotive coatings. The Commission's market investigation showed that the proposed concentration would not give rise to competition concerns in any of these markets as the overlaps between the parties' activities are not significant. The parties have a different product and geographic focus and their combined market shares are relatively limited on the various relevant markets. Moreover, several strong and effective competitors are present in all the markets concerned. [10 December 2007]