AkzoNobel has announced a review of strategic options for the separation of its Specialty Chemicals business, which could see the €4.8 billion unit become an independent listed entity.

The decision was bought forward following confirmation that AkzoNobel has rejected an unsolicited, non-binding and conditional proposal from PPG Industries to acquire the company, which AkzoNobel claims ‘substantially undervalued’ the firm.

“Our specialty chemicals business is an industry leader in many of the markets in which it operates and we are extremely proud of its heritage, performance and people. We are reviewing strategic options to separate it from the company to create focus for both specialty chemicals and the decorative paints and performance coatings group, allowing them to build further on their respective leadership positions,” said Ton Buchner, CEO.