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On October 10, BASF reached a binding agreement to sell the majority stake in its automotive original paint, car repair paint, and surface treatment business (hereinafter referred to as “BASF Paints”) to funds affiliated with the global investment firm KKR and the Qatar Investment Authority. The enterprise value of this deal is 7.7 billion euros, and it is expected to be finalized in the second quarter of 2026. Including this transaction along with the decorative coatings business that was divested earlier, the valuation of BASF’s entire coatings business is estimated to be 8.7 billion euros. This transaction represents an important step taken by BASF in implementing its \"Winning by Doing\" corporate strategy and realizing the value of its \"core businesses\". Following the completion of the transaction, BASF will continue to invest, holding a 40% stake in the coatings business, while receiving approximately 5.8 billion euros in pre-tax cash proceeds. BASF’s coating business includes original automotive paint coatings, automotive repair paints, as well as advanced solutions for surface treatment of metal, plastic, and glass substrates used in various industries. This business operates in Europe, North America, South America, and the Asia-Pacific region, with sales amounting to around 3.8 billion euros in 2024. BASF stated that it is working closely with KKR, and through continued investment in business operational capabilities, innovation initiatives, and organizational structure, it will further strengthen its customer orientation, support the future development of its coatings business, and together create an industry-leading independently operating enterprise.