Axalta Coating Systems (NYSE: AXTA), a global leader in the coatings industry, has struck a definitive agreement to purchase The CoverFlexx Group from Transtar Holding Company for $285 million, with an additional $10 million tied to the target’s 2024 performance. The acquisition is set to close in the third quarter, contingent upon regulatory approvals and other standard closing conditions. The CoverFlexx Group—a manufacturer and distributor of coatings for automotive refinish and aftermarket applications—generated $78 million in revenue in 2023 and boasts over 120 employees across its facilities in Brighton, Michigan, and Milton, Ontario. This move is part of Axalta’s strategic initiative to strengthen its Refinish business and enhance its value-based product offerings. Axalta’s CEO, Chris Villavarayan, and President of Global Refinish, Troy Weaver, both expressed optimism about the acquisition’s potential to deliver considerable value to their customers and to support the growth of their Refinish business. This release also includes cautionary statements regarding forward-looking information, signaling the inherent uncertainties of the transaction’s future results. Axalta, with over 150 years in the coatings industry serving more than 100,000 customers in over 140 countries, reinforces its commitment to providing innovative and sustainable coating solutions across different applications.

Chemicals – Specialty Chemicals, Automotive – Automotive Aftermarket,North America

https://www.globenewswire.com/news-release/2024/05/13/2880372/0/en/Axalta-to-Acquire-The-CoverFlexx-Group-a-Leading-Aftermarket-Coatings-Business-Focused-on-Economy-Customers-in-North-America.html