Here is how Akzo Nobel can resist PPG takeover attempt

Akzo Nobel does have the tools to resist the takeover attempt by US-based PPG. For instance, the Foundation Akzo Nobel has priority shares which entitle it to choose the group’s board and controlling body members. Therefore, in case of takeover, PPG could not influence the board: this would make the Dutch group less appealing. The Foundation has stated it will use such tool only if strictly necessary. Alternatively, Akzo Nobel could reallocate 10 to 20% of its total shares to new shareholders having interests similar to those of the current ones. In fact, such measures would be temporary and would just serve as a stopgap while preparing a defense strategy. Meanwhile, Henderson Global Europe, one of Akzo Nobel’s major shareholders, owning shares for €150m, asked the board for authorization to start talks with PPG. (Source: Het Financieele Dagblad)