ICI closer to selling Australian stake

The pending sale of Imperial Chemical Industries' 62.4 per cent stake in ICI Australia moved a step closer following agreement being reached on commercial arrangements between the two companies. "The completion of negotiations and determination of commercial arrangements between ICI and ICI Australia represents a positive result for both companies. It opens the way for the sale of ICI's shareholding in ICI Australia and provides the platform for the development of ICI Australia," the company said.

The agreement provides that ICI Australia retain exclusive rights to use the ICI roundel (registered trademark) and the "ICI" house mark in Australia, New Zealand and Papua New Guinea for one year. ICI Australia will own the key brands in the paint business in Australia and New Zealand, including the Dulux brand. ICI Australia will be able to exploit opportunities in paint markets internationally.