PPG has announced (May 10) that it is extending the tender offer period for all issued and outstanding shares of Tikkurila Oyj. The tender offer period, which commenced on January 15, 2021, was most recently scheduled to expire on May 11, 2021.
Completion of the tender offer remains subject to the receipt of regulatory approval from the Federal Antimonopoly Service (FAS) of Russia and to additional customary conditions to completion, including the valid tender of shares representing, together with shares otherwise held by PPG and its subsidiaries, more than 66.7% of the outstanding shares of Tikkurila.
Upon receipt of regulatory approval from the FAS, PPG would announce the approval and set an expiration date for the tender offer (approximately two weeks from announcement) in accordance with Finnish tender offer regulations.
The review process for the transaction in Russia has been impacted by a recently announced work shutdown in Russia, from May 1 to May 10, due to COVID-19 restrictions and public holidays. As is the case with any foreign purchaser, the review process by the FAS includes an assessment of whether the transaction should be subject to foreign investment review. That assessment is ongoing, and it is difficult to predict when that assessment will be concluded. PPG is not aware of any foreign investment or competition issues or concerns related to the transaction, and remains committed to completing the tender offer as expeditiously as possible.
As previously announced, the European Commission, the Ministry of Economic Affairs and Employment of Finland, and the Agency for Protection and Development of Competition of the Republic of Kazakhstan have each granted approval of the tender offer. The European Commission’s merger control approval applies without conditions across the European Union, including Poland.