AMSTERDAM -- AkzoNobel announced that it will acquire BASF's Industrial Coatings business for Euro 475 million.

The transaction would include technologies, patents and trademarks, as well as securing supply to customers worldwide. Two manufacturing plants - one in the UK and one in South Africa - would also be transferred to AkzoNobel. The business generated revenue of about Euro 300 million in 2015.

"This proposed acquisition will strengthen our position in the important coil coatings market and fits well with our existing business, allowing us to offer essential solutions to our customers," said AkzoNobel CEO Ton Büchner. "We are continuing to deliver on our strategy to achieve our vision of leading market positions delivering leading performance."

The planned transaction is expected to be completed in the second half of 2016, subject to regular consultation with employee representatives and satisfaction of certain closing conditions, including receipt of required regulatory approval.