AMSTERDAM, March 22 Dutch paints and coatings
maker Akzo Nobel rejected on Wednesday a second
takeover proposal from U.S. rival PPG Industries saying
the offer was too low and too risky.
Akzo said in a statement the new non-binding PGG proposal
made on March 20 was worth 88.72 euros ($95.84) per share in
cash and shares, up from a first offer worth 83 euros per share.
The Dutch company's shares were trading down 2.5 percent at
74.67 euros at 0815 GMT.
Akzo said the second unsolicited proposal did not address
its concerns which included the valuation, risks the deal might
not be accepted by regulators, the leverage of the merged
company and job losses.
Akzo's boards unanimously rejected the new offer and
reiterated that they would prefer to pursue their own strategy
of selling or floating the company's chemicals division.
($1 = 0.9257 euros)
(Reporting by Toby Sterling; editing by David Clarke)