1. Sherwin-Williams acquires BASF's Brazilian paint business, Suvinil. 2. Suvinil had approximately $525 million in sales in 2024. 3. Acquisition aligns with Sherwin-Williams' long-term growth strategy. 4. Expected sales boost is low single-digit for Q4 2025. 5. Integration will enhance customer solutions and employee opportunities.
The acquisition of a profitable business like Suvinil could enhance revenue, similar to previous successful acquisitions that have boosted earnings. Historical context shows that effective integration often results in stock price appreciation due to increased market share and efficiencies.
The acquisition is significant for Sherwin-Williams' growth trajectory in Latin America, and it adds a strong brand to their portfolio, likely improving market positioning and revenue potential in a growing segment.
Long-term growth is anticipated as the integration will take time, but the steady revenue boost from Suvinil will likely become more pronounced after 2025. Past performance of similar acquisitions suggests that long-term impacts usually outweigh the initial integration costs.
Premier business fits long-term strategy of accelerating growth, strengthening customer solutions and enhancing employee career opportunities
CLEVELAND, Oct. 1, 2025 /PRNewswire/ -- The Sherwin-Williams Company (NYSE:SHW) has completed the acquisition of BASF's Brazilian architectural paints business ("Suvinil") following the announcement of a definitive agreement in February of this year and subsequent customary regulatory approvals.
"Suvinil is a business we have admired for decades, and the rare opportunity to add an organization of this quality to Sherwin-Williams aligns directly with our long-term growth strategy," said Heidi G. Petz, Sherwin-Williams Chair, President and Chief Executive Officer. "Suvinil is highly complementary to our existing presence in Latin America, where we have operated for more than 80 years, and immediately accelerates our ability to provide industry-leading solutions for our customers and opportunities for our employees. We are excited to add Suvinil's outstanding talent, brands, technology, distribution, manufacturing and customers to the Sherwin-Williams portfolio."
Suvinil is a leading provider of architectural paints in Brazil and had sales of approximately $525 million for the year ended December 31, 2024. The business develops, manufactures and sells a comprehensive portfolio of innovative products under the well-known Suvinil and Glasu! brand names to professional painters, designers, architects, general contractors and consumers across the country. The company employs approximately 1,000 employees and operates two production facilities strategically located in the Northeast and Southeast regions of Brazil. Suvinil will become part of the Sherwin-Williams Consumer Brands Group.
The purchase price represents a low teens EBITDA multiple following anticipated post transaction synergies net of one-time costs. Sherwin-Williams expects to end 2025 with a net-debt to EBITDA ratio within its targeted range of 2.0 to 2.5 times. Sherwin-Williams expects Suvinil to increase the Company's consolidated sales by a low single digit percentage in the fourth quarter of 2025 compared to the fourth quarter of 2024, with an immaterial impact to diluted net income per share in the quarter given transaction closing costs and purchase accounting amortization.
ABOUT THE SHERWIN-WILLIAMS COMPANY
Founded in 1866, The Sherwin-Williams Company is a global leader in the manufacture, development, distribution, and sale of paint, coatings and related products to professional, industrial, commercial, and retail customers. The Company manufactures products under well-known brands such as Sherwin-Williams®, Valspar®, HGTV HOME® by Sherwin-Williams, Dutch Boy®, Krylon®, Minwax®, Thompson's® WaterSeal®, Cabot® and many more. With global headquarters in Cleveland, Ohio, Sherwin-Williams® branded products are sold exclusively through a chain of more than 5,400 Company-operated stores and branches, while the Company's other brands are sold through leading mass merchandisers, home centers, independent paint dealers, hardware stores, automotive retailers, and industrial distributors. The Sherwin-Williams Performance Coatings Group supplies a broad range of highly-engineered solutions for the construction, industrial, packaging and transportation markets in more than 120 countries around the world. Sherwin-Williams shares are traded on the New York Stock Exchange (symbol: SHW). For more information, visit www.sherwin.com.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION
Certain statements contained in this press release constitute "forward-looking statements" within the meaning of federal securities laws. These forward-looking statements are based upon management's current expectations, predictions, estimates, assumptions and beliefs concerning future events and conditions with respect to Sherwin-Williams, the business acquired, the completed transaction, and other matters, and include discussions of strategy, business, operating and financial projections, guidance and estimates (including their underlying assumptions), statements regarding plans, objectives, expectations or consequences of the completed transaction, and statements about future performance, operations, products and services. Any statement that is not historical in nature is a forward-looking statement and may be identified by the use of words and phrases such as "anticipate," "aspire," "believe," "could," "estimate," "expect," "goal," "intend," "may," "plan," "potential," "project," "seek," "should," "strive," "target," "will," or "would," or the negative thereof or comparable terminology.
Readers are cautioned not to place undue reliance on any forward-looking statements. Forward-looking statements are necessarily subject to risks, uncertainties and other factors, many of which are outside our control, that could cause actual results to differ materially from such statements and from our historical results, performance and experience. These risks, uncertainties and other factors include such things as: our ability to successfully integrate the business acquired, as well as the performance of the business acquired; general business and economic conditions in the United States and worldwide; inflation rates, interest rates, unemployment rates, labor costs, healthcare costs, recessionary conditions, geopolitical conditions, terrorist activity, armed conflicts and wars, public health crises, pandemics, outbreaks of disease, and supply chain disruptions; shifts in consumer behavior driven by economic downturns in cyclical segments of the economy; shortages and increases in the cost of raw materials and energy; catastrophic events, adverse weather conditions and natural disasters (including those that may be related to climate change); the loss of any of our largest customers; increased competition or failure to keep pace with developments in key competitive areas of our business; cybersecurity incidents and other disruptions to our information technology systems; our ability to attract, retain, develop and progress a qualified global workforce; our ability to successfully integrate past and future acquisitions into our existing operations, as well as the performance of the businesses acquired; risks and uncertainties associated with our expansion into and our operations in Asia, Europe, South America and other foreign markets; policy changes affecting international trade, including import/export restrictions and tariffs; our ability to achieve our strategies or expectations relating to sustainability considerations, including as a result of evolving legal, regulatory, and other standards, processes and assumptions, the pace of scientific and technological developments, increased costs, the availability of requisite suppliers, energy sources, or financing, and changes in carbon markets; damage to our business, reputation, image or brands due to negative publicity; the infringement or loss of our intellectual property rights or the theft or unauthorized use of our trade secrets or other confidential business information; a weakening of global credit markets or changes to our credit ratings; our ability to generate cash to service our indebtedness; fluctuations in foreign currency exchange rates and changing monetary policies; our ability to comply with a variety of complex U.S. and non-U.S. laws, rules and regulations; increases in tax rates, or changes in tax laws or regulations; our ability to comply with numerous, complex and increasingly stringent domestic and foreign health, safety and environmental (including related to climate change and chemical management) laws, regulations and requirements; our liability related to environmental investigation and remediation activities at some of our currently- and formerly-owned sites; the nature, cost, quantity and outcome of pending and future litigation, including lead pigment and lead-based paint litigation; and the other risk factors discussed in Part 1, Item 1A of our Annual Report on Form 10-K for the fiscal year ended December 31, 2024 and our other reports filed with the SEC.
Readers are cautioned that it is not possible to predict or identify all of the risks, uncertainties and other factors that may affect future results and that the above list should not be considered a complete list. Any forward-looking statement speaks only as of the date on which such statement is made, and we undertake no obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as otherwise required by law.
INVESTOR RELATIONS CONTACTS:
Jim Jaye
Senior Vice President, Investor Relations & Corporate Communications
Direct: 216.515.8682
investor.relations@sherwin.com
Eric Swanson
Vice President, Investor Relations
Direct: 216.566.2766
investor.relations@sherwin.com
MEDIA CONTACT:
Julie Young
Vice President, Global Corporate Communications
Direct: 216.515.8849
corporatemedia@sherwin.com
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SOURCE The Sherwin-Williams Company