Akzo Nobel N.V. — M&A Activity 2018

Jun 18, 2018

Media release

June 18, 2018

AkzoNobel to achieve number one position in Romania with acquisition of Fabryo

(AKZA; AKZOY)

AkzoNobel has entered into an agreement to acquire 100% of the shares of Fabryo Corporation S.R.L. (Fabryo), becoming the leader in the Romanian decorative paints market.

The transaction includes two production facilities and six distribution centers for decorative paints, adhesives and mortars, including one of the largest decorative paints factories in the region, with capacity for further expansion.

The business generated revenue of around €45 million in 2017 and is the only player with both a leading product portfolio for consumers as well as professional segments in the Romanian market, including brands Savana, APLA and InnenWeiss.

Thierry Vanlancker, CEO of AkzoNobel, said: "This acquisition provides AkzoNobel with the number one position in a fast growing market and will contribute to delivering our Winning Together: 15 by 20 Strategy. Fabryo has a proven track record when it comes to growth and profitability. We are very happy to add top brands like Savana, APLA and InnenWeiss to our world class portfolio and look forward to welcoming our new colleagues to AkzoNobel."

Ruud Joosten, COO of AkzoNobel, added: "We are very excited about the acquisition of Fabryo; a strong market leader for decorative paints in Romania led by an excellent team. Savana is the number one decorative paints brand among Romanian consumers. The strong sales and distribution capabilities

Christian Neefestraat 2 T +31 (0)88 969 7833 P.O. Box 75730 www.akzonobel.com 1070 AS Amsterdam Netherlands

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of Fabryo will help us to further improve our business in the region, leveraging our combined resources and expertise, and strengthen our position as the leading paints and coatings company in Europe."

Dragos Militaru, CEO of Fabryo, said: "We are looking forward to joining AkzoNobel. We both have passion for paint and we share the same values. Combining our efforts in Romania, building on AkzoNobel's global presence, will enable us to strengthen our leading position."

The planned transaction is expected to be completed in the second half of 2018, subject to regulatory approval.

This is a public announcement by Akzo Nobel N.V. pursuant to section 17 paragraph 1 of the European Market Abuse Regulation (596/2014).

About AkzoNobel

AkzoNobel has a passion for paint. We're experts in the proud craft of making paints and coatings, setting the standard in color and protection since 1792. Our world class portfolio of brands – including Dulux, International, Sikkens and Interpon – is trusted by customers around the globe. Headquartered in the Netherlands, we operate in over 80 countries and employ around 35,000 talented people who are passionate about delivering the high performance products and services our customers expect. The sale of our Specialty Chemicals business is expected to be completed by the end of 2018.

About AkzoNobel Specialty Chemicals

Industries worldwide rely on our essential chemistry in the manufacture of everyday products such as paper, plastics, building materials, and personal care items. Building on the dedication of our 9,500 employees and our shared commitment to safety, sustainability, and open innovation, we have established a world-class business and built strong partnerships with our customers. We operate in over 80 countries around the world and our portfolio of industry leading brands includes Eka, Dissolvine, Trigonox, and Berol.

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Safe Harbor Statement

This press release contains statements which address such key issues such as AkzoNobel's growth strategy, future financial results, market positions, product development, products in the pipeline and product approvals. Such statements should be carefully considered, and it should be understood that many factors could cause forecasted and actual results to differ from these statements. These factors include, but are not limited to, price fluctuations, currency fluctuations, developments in raw material and personnel costs, pensions, physical and environmental risks, legal issues, and legislative, fiscal, and other regulatory measures, as well as the separation of Specialty Chemicals. Stated competitive positions are based on management estimates supported by information provided by specialized external agencies. For a more comprehensive discussion of the risk factors affecting our business please see our latest annual report, a copy of which can be found on our website: www.akzonobel.com.