Dutch paint and coatings maker AkzoNobel confirmed on Monday that it is in talks on a merger with American specialty coating maker Axalta.

Describing the talks as ‘constructive discussions’, the merger will ‘create a leading global paints & coatings company through a merger of equals’, the company said in a short statement.

Axalta specialises in coatings for the car industry and building facades and has a workforce of some 13,000. The company booked sales of €3.5bn in 2016.

The US company said in a statement that it will agree to the merger ‘only if the board of directors determines that it is in the best interest of Axalta to do so.’

‘There can be no assurances that a definitive agreement between the parties will be reached or on what terms,’ the company said.

News of the talks comes just days after US paints and coatings concern PPG Industries said it was no longer interested in acquiring AkzoNobel

AkzoNobel rejected three shares and cash offers made by the Pittsburgh-based group between March and late May. The last bid was for the equivalent of €26.9bn.