THE HAGUE: Dutch paintmaker AkzoNobel said Wednesday it has buried the hatchet with a key shareholder in a long-running spat over a planned takeover by US-based chemical giant PPG. US investor Elliott Advisors, which holds a stake of some 9.5 percent in AkzoNobel, is in favour of a tie-up with main US rival PPG that would create a new global leader in paints. And it has been angered by the Dutch group’s rejection of three different multi-billion-euro takeover offers from PPG, accusing it of “losing the trust of shareholders” and creating “a crisis of confidence” in the company’s management. Among a number of legal filings to try to force AkzoNobel’s hand in the planned takeover by PPG — which would have valued it at 26.9 billion euros ($30 billion) — Elliott has sought to call an extraordinary shareholders meeting to oust the Dutch company’s chairman Antony Burgmans. But that attempt was foiled earlier this month when a Dutch court nixed Elliot’s plans. However, the two sides have now decided to call a truce, AkzoNobel said Wednesday. It has “reached an agreement with… Elliott following recent constructive dialogue with the aim of normalising the relationship with its shareholders,” the group said in a statement. “AkzoNobel and Elliott have also agreed, subject to the terms of a standstill agreement, to seek to suspend all ongoing litigation for at least three months,” AkzoNobel said. The US investor will now support AkzoNobel’s plans to spin off its speciality chemicals business and appoint Thierry Vanlancker as new chief executive to replace Ton Buchner, who is stepping down for health reasons, the group continued. Shareholders will vote on Vanlancker’s appointment at a meeting on September 8. AkzoNobel said in April that it would shed its speciality chemicals arm as part of its strategy to ward off PPG’s takeover bid. Chairman Burgmans welcomed the agreement, saying “I am pleased our recent constructive discussions with Elliott improved understanding between both parties.” Published in Daily Times, August 17th 2017.