AkzoNobel has agreed to sell its Southeast Asian decorative paints business to Nippon Paint for 1.35 billion dollars. The deal was announced on Monday.

The sale covers operations in Vietnam, Indonesia, Malaysia, Thailand, Singapore, Papua New Guinea and Australia. AkzoNobel expects net cash proceeds of about 1 billion dollars after tax and payments to minority partners.

The Dutch paints maker said the deal completes its review of the Asian decorative paints portfolio. It earlier sold its India business for 1.6 billion dollars and its Pakistan business for 50 million euros.

Chief Executive Greg Poux-Guillaume said the review is part of a strategy to focus on areas where the company can achieve differentiating scale.

The Indonesia deal is expected to close separately in late 2026, with the remaining transactions closing around mid-2027. AkzoNobel will now focus on closing its merger with US coatings maker Axalta, announced last November.

Nippon Paint had earlier made proposals valuing the wider decorative paints business at about 7.5 billion euros. A 12.5 billion euro joint bid for the whole company with Sherwin-Williams was withdrawn in June.