Nippon Paint Holdings Co Ltd today announced that Nippon Paint (M) Sdn Bhd is acquiring majority stakes in Vital Technical Sdn Bhd (Vital Technical).
Vital Technical, established in 2002, is the number one player in the Malaysian Sealants, Adhesives and Fillers (SAF) market.
It has four production facilities and has expanded its business to more than 70 countries worldwide, mainly in Southeast Asia.
In line with Nippon Paint’s expansion strategy into adjacent segments, this acquisition will see the company’s growth as a market leader in the home and industrial improvement solutions industry.
In a statement, both companies said the acquisition would accelerate its market growth and strengthen its financial position through mutual sales whilst expanding on product line-ups, including Selleys, a recent business integration by Nippon.
In addition to acquiring a management team that is well-versed in the SAF segment with specialised technology, the acquisition will also improve efficiency through the increase of production capacity and coordination of raw material procurement.