Sherwin-Williams will acquire Valspar for $113 per share in an all-cash transaction, with an enterprise value of about $11.3 billion. The transaction was approved unanimously by the boards of both companies and was announced on March 20. According to a statement by Sherwin-Williams, the two companies “have highly complementary paints and coatings offerings, and this combination enhances Sherwin-Williams’ position as a premier paints and coatings provider.” The acquisition will expand the company’s presence in Asia-Pacific and EMEA (Europe, the Middle East and Africa). The combined company will have pro forma 2015 revenue of about $15.6 billion.

“Valspar is an excellent strategic fit with Sherwin-Williams,” says John G. Morikis, president and chief executive officer of The Sherwin-Williams Company. “The combination expands our brand portfolio and customer relationships in North America, significantly strengthens our Global Finishes business, and extends our capabilities into new geographies and applications, including a scale platform to grow in Asia-Pacific and EMEA. Customers of both companies will benefit from our increased product range, enhanced technology and innovation capabilities, and the transaction’s clearly defined cost synergies. We have tremendous respect for the expertise and dedication of the Valspar team, and we are excited about the opportunities that this combination will provide to both companies’ employees. Sherwin-Williams will continue to be headquartered in Cleveland, and we intend to maintain a significant presence in Minneapolis.”

Shares Gary E. Hendrickson, chairman and chief executive officer of Valspar, “We are pleased to announce this compelling transaction, which delivers immediate and certain cash value to our stockholders. We believe that Sherwin-Williams is the right partner to utilize our array of brands and create a premier global coatings company. The combination of Sherwin-Williams and Valspar will benefit our customers, employees and other stakeholders. We are confident this transaction will create opportunities to accelerate many of the operating initiatives already underway at Valspar. We look forward to positioning Valspar to enter its next phase of growth and success and to working closely with Sherwin-Williams to seamlessly close this transaction. Together, we will continue to build on the solid momentum our team has worked so hard to create.”

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