European markets opened the day under pressure as investor sentiment weakened across major indices, with growing uncertainty driven by fresh U.S. tariff proposals and corporate shake-ups. The pan-European Stoxx 600 slipped modestly, reflecting cautious trading across sectors and regions, while Germany’s DAX led losses among major benchmarks.
The biggest corporate shock came from paint giant Akzo Nobel, the owner of popular household brand Dulux, which saw its shares crash by nearly 19%. The dramatic fall followed the collapse of takeover discussions involving Nippon Paint and Sherwin-Williams, ending speculation around a major industry consolidation.
Akzo Nobel had previously rejected a joint cash offer reportedly worth €73 per share, arguing that the bid undervalued the company and failed to reflect its long-term growth potential. The company also raised concerns over deal uncertainty and shareholder protection, stating that the proposal did not provide sufficient safeguards for investors.
On Wednesday, Nippon Paint and Sherwin-Williams officially stepped away from pursuing any public takeover offer, confirming an end to negotiations and triggering the sharp market reaction. The development added pressure to Akzo Nobel shares, which had already been closely watched by investors anticipating a potential buyout.
Meanwhile, broader market attention remained fixed on new U.S. trade policy proposals, which could introduce tariffs of up to 12.5% on goods from 60 trading partners over forced labor concerns. In parallel, investors monitored geopolitical tensions and corporate earnings updates, including strong quarterly results from Zara owner Inditex, which rose over 5% after reporting steady growth in sales and profits.
source: cnbc