ICI rejects L7.2B Akzo Nobel bid

UK chemicals and paint company Imperial Chemistry Industries has rejected a 600 pence a share, or L7.2 billion ($14.2 billion), cash offer from Dutch drug and chemical group Akzo Nobel. ICI said, according to various press reports, the offer "significantly undervalues the company," adding that any future offers should be above the 700 pence per share mark. John McAdam, ICI's chief executive, told shareholders that the firm planned to go on investing in both organic and acquisition-led expansion. In a press release, Akzo Nobel said that it believed that ICI would have been an attractive addition to its coatings and chemicals business following the decision to sell Organon (Marketletter February 26).