Rohm and Haas Company has reached an agreement to sell its global Automotive Coatings business to Nippon Paint Co., Ltd. (NPC). Terms of the sale include approximately $230 million in cash subject to adjustments at closing. The company does not expect a significant gain or loss from this transaction, however the final determination depends on closing adjustments. The transaction will be finalized upon receipt of all necessary government and regulatory approvals, which are expected by early October, 2006.
The sale involves the company's North American Automotive Coatings business (United States, Canada and Mexico) including the company's facilities based in Lansing, Illinois as well as its interests in two joint ventures with NPC. The transaction does not include Rohm and Haas Company's European Automotive Coatings business. Rohm and Haas also intends to divest that portion of the business and is actively pursuing potential buyers.