DuluxGroup’s majority-owned company, DGL Camel International, has inked a deal to sell most of its Hong Kong and China coatings portfolio to Yip’s Chemical Holdings.
Under the deal, DGL Camel, a joint venture between Dulux and HK-based Camelpaint Chemical Co, will retain a small part of the coatings portfolio and its Selleys business.
Dulux expects the earnings before interest and tax for the HK-China region for the 2018 financial year will be broadly in line with its 2017 results.
The paint and adhesives supplier on Wednesday said the structure and cost base of the ongoing business is currently being finalised, with the transaction expected to be completed late in the first half of the 2018 financial year.
Shares in Dulux were down eight cents, or 1.04 per cent, at $7.58 at 1053 AEDT on Wednesday.