The transaction, with an enterprise value of EUR 7.7 billion, encompasses BASF’s automotive OEM coatings, automotive refinish coatings, and surface treatment businesses. Following customary regulatory approvals, the transaction is anticipated to close in the second quarter of 2026.

BASF and funds managed by the global investment firm Carlyle (NASDAQ: CG), in partnership with Qatar Investment Authority (QIA), have entered into a binding agreement to establish this new market leader. As part of the agreement, BASF will retain a 40% equity stake in the coatings business and will receive approximately EUR 5.8 billion in pre-tax cash proceeds upon closing.

This marks a major step in the creation of a leading standalone coatings company and demonstrates our expertise in cross-border M&A and complex corporate structuring.

This transaction not only represents a significant development in the coatings industry but also shows our firm’s position as a trusted adviser in complex, high-value international deals. We look forward to supporting our clients through the successful completion of this transformative transaction.

Carlyle (NASDAQ: CG) is a global investment firm with deep industry expertise that deploys private capital across its business and operates through three business segments: Global Private Equity, Global Credit, and Carlyle AlpInvest.

BASF Coatings is a global player in the development, production, and marketing of innovative and sustainable automotive OEM and refinish coatings, as well as applied surface treatments for metal, plastic, and glass substrates across a wide range of industries.