BASF to Sell Brazilian Decorative Paints Division to Sherwin-Williams

BASF and Sherwin-Williams have agreed to the sale of BASF’s Brazilian decorative paints business, part of its Coatings division, for $1.15 billion on a cash and debt-free basis. The share deal includes production sites in Demarchi and Jaboatão, related contracts, the Suvinil and Glasu! brands, and approximately 1,000 employees. The transaction is expected to close in the second half of 2025, pending approval from relevant competition authorities.

BASF’s decorative paints business, which generated approximately $525 million in sales in 2024, is its only significant B2C segment. It offers a diverse range of paints, paint preparation products, and digital solutions. Operating almost exclusively in Brazil, the business has limited synergies with BASF’s other coatings operations.

“The signing marks an important step in unlocking the value of our standalone businesses, and I am delighted that we have made such rapid progress in finding a new home for Suvinil,” said Anup Kothari, member of the Board of Executive Directors of BASF SE and responsible for the Coatings division. “We are convinced that the decorative paints business will continue to thrive as part of Sherwin-Williams. We are deeply grateful to our employees for their hard work and dedication, which have made Suvinil the most recognized brand for decorative paints in Brazil.”

“For more than 60 years, Suvinil has been synonymous with innovation and quality. The business is highly complementary to Sherwin-Williams in Latin America, as the Suvinil brand is well-known and highly-trusted by purchasing influencers and specifiers across the value chain. We are excited to capitalize on the strengths of both companies to further enhance value for customers,” said Heidi G. Petz, Sherwin-Williams Chair, President and Chief Executive Officer. “We have tremendous respect for the expertise and dedication of the Suvinil team, and we are excited about the opportunities that this combination will provide to customers and employees.”

Until the transaction is finalized, BASF and Sherwin-Williams will continue to operate as separate, independent companies, ensuring business continuity for customers throughout the process. Employee representatives of the decorative paints business will be involved in accordance with legal requirements and local practices.

In the second quarter of 2025, BASF plans to explore strategic options for its remaining Coatings activities, which include automotive OEM coatings, refinish coatings, and surface treatment.

Source: BASF