PPG Opens Oak Creek Coatings Capacity
US paints and coatings giant PPG has opened additional production capacity for food-can coatings at its plant in Oak Creek, Wisconsin, USA. It said the investment of nearly $3 million was made to meet growing customer demand.
The company’s new generation of coatings is designed to help can manufacturers and brand owners meet increasing legislation for materials coming into contact with food. The coatings are independently certified as being food-contact compliant in both Europe and North America. As a result of the investment, PPG said the Oak Creek facility will now have greater flexibility for manufacturing specialized solutions to meet new requirements from changing regulations and market demands.
The Pittsburgh-headquartered group is currently trying to woo Dutch rival AkzoNobel, which has already rejected two of its offers. The second bid valued AkzoNobel, owner of brands such as Dulux and Hammerite, at €24.5 billion. The Netherlands-based group said it would not engage in any dialogue with PPG because it believed the offers undervalued the company and a deal would raise complex antitrust concerns.
In a statement released on Apr. 5, PPG’s chairman and CEO, Michael McGarry, repeated the invitation to AkzoNobel to enter into discussions to explore PPG’s proposal. “We made a compelling offer to AkzoNobel that provides its shareholders with a significant premium and the opportunity to benefit from the upside potential of a stronger company that is well positioned for future growth and value creation,” he said. “Together, we can create a stronger company that will benefit all of AkzoNobel’s stakeholders, including its Netherlands-based employees.” AkzoNobel’s shareholders are said to be divided over PPG’s offer.
