JSW Paints signs deal to acquire Akzo Nobel India for Rs. 8,986 crore

JSW Paints has entered into definitive agreements to acquire up to a 74.76% stake in Akzo Nobel India(ANIL) from its parent company Akzo Nobel N.V. and affiliates. The deal is valued at up to Rs. 8,986.1 crore, subject to closing adjustments.

The proposed acquisition is contingent on regulatory approvals, including from the Competition Commission of India (CCI), and a mandatory open offer to ANIL’s public shareholders.

This marks a major strategic move by JSW Paints, part of the $23 billion JSW Group, as it looks to scale operations in the paints sector. The acquisition would significantly boost its presence in the decorative and industrial paints segments, putting it in direct competition with market leaders.

Akzo Nobel India, a subsidiary of the Netherlands-based Akzo Nobel, is a well-established player in both decorative and industrial coatings in India.

The Indian paints market is projected to witness strong growth, driven by rising demand from housing, infrastructure, and manufacturing sectors. If the transaction goes through, it will position JSW Paints as one of the major players in the industry.

Parth Jindal, managing director, JSW Paints, said “Paints & Coatings is one of India’s fastest growing sectors and JSW Paints is amongst the fastest growing paint companies. Akzo Nobel India is home to some of the most globally renowned brands of paints & coatings like Dulux, International and Sikkens. We are excited to welcome them to the JSW family. Together, along with the Akzo Nobel India family - employees, customers and partners - we aspire to build the paint company of the future. With the Magic of Dulux and Thoughtfulness of JSW Paints, we look forward to delighting customers and building lasting value for our stakeholders.” 

Greg Poux-Guillaume, CEO of AkzoNobel, said: “This transaction is a significant milestone in the execution of our strategy. AkzoNobel India has been a consistently strong performer, and we are proud of the brand and talent that have made it a success. With JSW, we are confident the business is in the hands of a long-term partner with deep local expertise and strong ambitions in the sector.”

Morgan Stanley acted as the exclusive financial advisor to JSW Paints on this transaction. Khaitan & Co. acted as the legal advisor. Deloitte acted as the financial and tax due diligence advisor.