Monday, June 30, 2014

México/US: PPG Industries to Acquire Comex, México's Largest Paint Manufacturer

According to The Latin American Tribune, Mexican paint company Comex said on Monday (June 30) that it was being acquired by US-based PPG Industries for $2.3 billion.

Mexican regulators rejected an attempt last year by US-based Sherwin-Williams to buy Consorcio Comex, S.A. de C.V. on the grounds that the deal would harm competition in the market.

The agreement with PPG Industries is subject to regulatory approval, Comex said.

“We are excited to proudly join the PPG team, a company with over 130 years of experience that admires and respects Comex’s achievements over more than 60 years. Being part of PPG gives us new opportunities and synergies that will allow us to continue to significantly grow in our markets,” Comex CEO Marcos Achar Levy said.
COMMENT: “In these times of globalization and highly competitive markets, strategic alliances allow the development of companies and its individuals,” the Comex CEO said.

PPG Industries Chairman and CEO Charles Bunch, said the acquisition of Comex would bolster his Pittsburgh, PA-based company’s presence in México and Latin America, “a region where we have negligible architectural coatings presence.”

“Comex is a high-quality, well-managed business with a long heritage of excellent customer service and leading, well-recognized regional brands,” Bunch said.

Comex, which was founded in 1952, is México’s largest paint manufacturer.

The company has more than 3,000 paint stores across México operated by franchisees, who sell paint for construction and industrial uses.

PPG Industries, which was founded in 1883, has operations in nearly 70 countries.