CLEVELAND, Feb. 18, 2021 /PRNewswire/ -- The
Sherwin-Williams Company (NYSE: SHW) announced it has signed a
purchase agreement with global coatings company Hempel A/S to
divest Wattyl, an Australian and New
Zealand manufacturer and seller of architectural and
protective paint and coatings with annual revenue of approximately
$200 million USD and 750 employees.
The transaction is expected to close during the first quarter of
2021, subject to customary closing conditions.
"Today's announcement of our intent to divest Wattyl aligns with
our ongoing process to evaluate all aspects of our portfolio,
including brands, product lines, customer programs and businesses,
for their ability to meet our performance criteria and for their
long-term strategic fit," said John G.
Morikis, Sherwin-Williams Chairman and Chief Executive
Officer. "While we've driven significant improvement in the Wattyl
business, we believe Company resources can be better deployed to
other opportunities offering greater growth, more meaningful scale,
and higher returns and cash flow. We thank the employees of Wattyl
for their contributions to Sherwin-Williams."
The Wattyl business became part of Sherwin-Williams through the
2017 acquisition of The Valspar Corporation. The business was
previously reported in Sherwin-Williams Consumer Brands Group.
Deloitte Corporate Finance Australia served as M&A adviser
to Sherwin-Williams and Wattyl on the transaction.
About The Sherwin-Williams Company
Founded in 1866, The Sherwin-Williams Company is a global leader
in the manufacture, development, distribution, and sale of paint,
coatings and related products to professional, industrial,
commercial, and retail customers. The Company manufactures products
under well-known brands such as Sherwin-Williams®,
Valspar®, HGTV HOME® by Sherwin-Williams,
Dutch Boy®, Krylon®, Minwax®,
Seal®, Cabot®, and many more. With global
headquarters in Cleveland, Ohio,
Sherwin-Williams® branded products are sold exclusively
through a chain of more than 4,900 Company-operated stores and
facilities, while the Company's other brands are sold through
leading mass merchandisers, home centers, independent paint
dealers, hardware stores, automotive retailers, and industrial
distributors. The Sherwin-Williams Performance Coatings Group
supplies a broad range of highly-engineered solutions for the
construction, industrial, packaging and transportation markets in
more than 120 countries around the world. Sherwin-Williams shares
are traded on the New York Stock Exchange (symbol: SHW). For more
information, visit www.sherwin.com.
Cautionary Statement Regarding Forward-Looking
This press release contains certain "forward-looking
statements," as defined under U.S. federal securities laws, with
respect to the transaction. These statements can be identified by
the use of forward-looking terminology such as "believe," "expect,"
"may," "will," "should," "project," "could," "plan," "goal,"
"potential," "seek," "intend" or "anticipate" or the negative
thereof or comparable terminology. These forward-looking statements
are based upon management's current expectations, estimates,
assumptions and beliefs concerning future events and
conditions. Readers are cautioned not to place undue reliance on
any forward-looking statements. Forward-looking statements are
necessarily subject to risks, uncertainties and other factors, many
of which are outside the control of the Company that could
cause actual results to differ materially from such statements.
These risks, uncertainties and other factors include such things
as: delay in closing the transaction or the possibility of
non-consummation of the transaction; the occurrence of any event
that could give rise to termination of the purchase agreement;
general business and economic conditions; the duration, severity
and scope of the COVID-19 pandemic, which may exacerbate one or
more of the aforementioned and/or other risks, uncertainties and
factors more fully described in the Company's reports filed with
the Securities and Exchange Commission (SEC); and other risks,
uncertainties and factors described from time to time in the
Company's reports filed with the SEC. The foregoing should not be
considered a complete list. Any forward-looking statement speaks
only as of the date such statement is made, and the Company
undertakes no obligation to update or revise any forward-looking
Investor Relations Contacts:
Senior Vice President, Investor Relations & Corporate
Vice President, Investor Relations
Vice President, Global Corporate Communications
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SOURCE The Sherwin-Williams Company