JSW Paints to Acquire AkzoNobel India for $1.1 Billion
In a significant development in the Indian paints industry, JSW Paints, a subsidiary of JSW Group, is set to acquire a 74.76% stake in AkzoNobel India from its Dutch parent for $1.1 billion. The deal values the Indian unit at ₹12,000–12,200 crore, making JSW Paints the second-largest industrial paints player in India.
The acquisition is expected to be completed by mid-June, and financing for the deal includes ₹3,000 crore promoter equity and ₹3,000 crore bank loans. The deal is subject to regulatory approvals and is expected to be finalized by the end of June.
AkzoNobel India is a leading player in the industrial paints segment in India, with a strong presence in the automotive, construction, and consumer goods sectors. The company has a wide range of products, including coatings, paints, and specialty chemicals. The acquisition of AkzoNobel India will significantly enhance JSW Paints’ presence in the Indian paints market, making it a major player in the industry.
JSW Paints is a relatively new player in the Indian paints market, having been established in 2019. However, the company has made rapid strides in a short span of time, thanks to its strong brand presence and aggressive expansion strategy. The acquisition of AkzoNobel India will further bolster JSW Paints’ growth prospects, providing it with a strong foothold in the Indian market.
The deal also marks a significant milestone for AkzoNobel, as the company exits the Indian market after more than two decades of operations. AkzoNobel had acquired the Indian paints business of BASF in 2000 and had been operating the business under the AkzoNobel India brand since then.
The acquisition of AkzoNobel India is expected to have a significant impact on the Indian paints industry, as it will create a new major player in the market. The deal will also provide a boost to the Indian economy, as it will create new job opportunities and stimulate economic growth.
In a statement, JSW Paints said, “We are excited to announce the acquisition of AkzoNobel India, which will further strengthen our presence in the Indian paints market. The deal will enable us to expand our product portfolio and geographic presence, and will provide us with a strong platform for growth.”
The acquisition of AkzoNobel India is part of JSW Paints’ strategy to become a leading player in the Indian paints industry. The company has been aggressively expanding its presence in the market, and has already established a strong brand presence in the country.
The deal is also expected to have a significant impact on the Indian paints industry, as it will create a new major player in the market. The deal will also provide a boost to the Indian economy, as it will create new job opportunities and stimulate economic growth.
In conclusion, the acquisition of AkzoNobel India by JSW Paints is a significant development in the Indian paints industry. The deal will make JSW Paints the second-largest industrial paints player in India, and will provide it with a strong foothold in the market. The acquisition is expected to have a significant impact on the Indian paints industry, and will create new job opportunities and stimulate economic growth.
Source: https://startuptalky.com/news/jsw-paints-to-acquire-akzonobel-india/
