JSW Paints, led by Sajjan Jindal, has officially approached the Competition Commission of India (CCI) for approval to acquire a significant majority stake in Akzo Nobel’s India unit. This substantial transaction, valued at over ₹12,915 crore, aims to position JSW Paints as the fourth-largest player within the country’s rapidly expanding paint industry. The development follows JSW Paints’ initial announcement in June that it intended to acquire a controlling 74.76% stake, setting the stage for a major industry shift.
The proposed acquisition outlines JSW Paints’ plan to first buy a 74.76% stake in Akzo Nobel India for ₹8,986 crore. This initial purchase will be followed by a mandatory open offer to acquire an additional 25% from the open market, valued at up to ₹3,929.06 crore, bringing the total deal consideration to more than ₹12,915 crore. This strategic move aligns with the view that the paints and coatings sector is among India’s fastest-growing segments, reflecting strong market potential and consumer demand.
The development also comes after the Dutch parent company, Akzo Nobel NV, globally announced its agreement to transfer its shareholding in Akzo Nobel India to the JSW Group. Notably, Akzo Nobel NV will retain full ownership of its India Powder Coatings business and the International Research Centre, which were previously part of Akzo Nobel India. This decision is part of Akzo Nobel NV’s broader strategic review initiated in October 2024, aimed at reallocating capital to strengthen its core coatings business worldwide. For JSW Paints, which entered the market in 2019, this acquisition provides immediate scale and access to established brands, significantly intensifying the competitive landscape within the Indian paint industry, traditionally dominated by a few large players.
Across the Indian paint sector, this proposed acquisition signifies a strategic consolidation poised to reshape market dynamics. As regulatory approval is sought, the industry anticipates increased competition and innovation. This move underscores the robust growth potential within India’s paints and coatings segment, attracting significant investment and strategic repositioning by major players.
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