Bathroom fake wallboard tile?

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I have this wallboard in my basement bathroom that still look amazing for its age. The flooring and bath sinks and toilet are new. I don’t want rip this out but I’m wondering if I could do peel and stick wall tile over it but the bit of a raised lip between the two sections of that wall board will be ok with peel and stick tile, I don’t want to paint it because we did that in our cottage all that sanding, priming and painting, it’s hard the get paint to adhere to this wall board. Your thought please.


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