Here's another paint deal in the mix

With the big Sherwin-Williams acquisition of Valspar deal expected to close in the first quarter of 2017, here comes another mixing of paint companies. Los Angeles-based Dunn-Edwards entered a merger agreement with a Japanese paint powerhouse Nippon Paint Holdings.

Dunn-Edwards CEO Karl Altergott said the 91-year-old brand will continue business as usual. “This is an extraordinary opportunity for both companies," he said. “Plus, we’ll have an influx of resources, new coatings technology and an opportunity to grow with a financially strong global leader."

Nippon Paint describes itself as the world’s fourth largest paint company with $4.8 billion in sales. The stated purpose of the merger is to provide a platform for growth throughout the United States. The 135-year-old Osaka-based company operates more than 30 manufacturing plants throughout Asia, producing over one million tons of paint and coatings annually.

In addition to manufacturing paints, Dunn-Edwards operates 129 company-owned paint stores, mostly in the Southwest, and also has presence in more than 80 authorized dealers.

“We’ve wanted to expand our architectural paints in the U.S. and have been searching for the right partner,” said Tetsuhi Tado, Nippon Paint president and CEO. “It is important to us that Dunn-Edwards is the most environmentally responsible paint manufacturer, which fits with our mission. They are respected by both painting contractors and designers as a top choice. We enjoy the same reputation throughout Asia, so it’s an ideal fit.”

One example of Dunn-Edwards’ commitment to the environment is that it produces its coatings in a LEED Gold-certified manufacturing plant.

[Dunn-Edwards celebrated its 90th anniversary in 2015, watch the retrospective here.>

The late 2016 paint industry follows the blockbuster Sherwin-Williams deal to acquire Valspar, creating a giant with some $15.6 billion in 2015 revenues.