PPG and Tikkurila have entered into an amendment to the previously announced definitive combination agreement, pursuant to which PPG will improve its recommended offer to acquire all issued and outstanding stock of Tikkurila in an all-cash transaction.
PPG announced that on February 5, 2021 it completed the purchase of shares in Tikkurila held by Varma Mutual Pension Insurance Company, Mandatum Life Insurance Company Limited and Kaleva Mutual Insurance Company. These shares represent, in the aggregate, approximately 9.32% of the shares in Tikkurila. PPG completed the purchases at the tender offer price of €34 per share for a combined purchase price of approximately €140M.
As announced February 4, 2021, in connection with PPG’s improved tender offer, Tikkurila’s largest shareholder, Oras Invest Oyj, which holds approximately 20.01% of the shares in Tikkurila, has also unconditionally agreed to sell all of its shares in Tikkurila to PPG upon PPG’s receipt of the necessary regulatory approvals. Additionally, Oras has agreed to an unconditional irrevocable undertaking to accept PPG’s improved tender offer. The shares held by Oras combined with those purchased by PPG in the transactions detailed above, represent approximately 29.34% of the shares of Tikkurila.
PPG’s tender offer for all of the issued and outstanding shares of Tikkurila began on January 15, 2021 and is expected to expire on March 15, 2021 unless extended by PPG. PPG expects the transaction to close as early as March or early in the second quarter of 2021, subject to customary closing conditions.
