AkzoNobel to raise Middle East coatings output by expanding Kanoo venture
AkzoNobel has underlined its growth ambitions for the Middle East after signing an expanded joint venture agreement with the Yusuf Bin Ahmed Kanoo group of companies, the company said on Friday.
The new deal strengthens the existing joint venture between AkzoNobel and Kanoo, which only covered the supply of the company's International Paint brand, along with coil and packaging coatings.
Under the terms of the new expanded agreement, AkzoNobel will offer products from across its performance coatings portfolio, including professional woodcare, automotive refinish, marine, yacht, fire protection, protective and powder coatings.
"We are very pleased to build on our long-standing relationship with the Kanoo family by signing this agreement," said Leif Darner, AkzoNobel's executive committee member responsible for performance coatings.
"It will give us a firm foothold in the Middle East and a solid platform from which to deliver on our ambitious growth strategy in the region. We see many opportunities for our products and services to supply the construction, oil and gas and transportation sectors in the Middle East and this deal will ensure that we are better placed to serve our customers."
Mishal Kanoo, deputy chairman for Kanoo in the UAE and Oman, added: "Our relationship with AkzoNobel goes back over 30 years and we look forward to supporting the company in its ambition to be a leading supplier of performance coatings in both the UAE and Saudi Arabia."
AkzoNobel currently employs more than 200 people across its two main plants in the Middle East. Both sites are planning increased investments to support the enlarged business portfolio, with work on a new powder coatings facility in Dubai having already started.
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