JSW Paints to buy 74% stake in Akzo Nobel India for ₹8,986 crore

Billionaire Sajjan Jindal-owned JSW Paints on Friday signed definitive agreements to acquire up to a 74.76 per cent stake in Akzo Nobel India Ltd for ₹8,986 crore ($1.08 billion), as the group looks to consolidate its presence in India’s fast-growing paints and coatings market.

The deal will see JSW Paints purchase shares from Dutch parent Akzo Nobel N.V. and its affiliates, subject to regulatory clearances and a mandatory open offer to public shareholders. The acquisition of the "Dulux" brand of paints would mark one of the largest buyouts in India’s paints industry and significantly bolster JSW Paints' market position against established players such as Asian Paints and Berger Paints, and the Aditya Birla Group’s newly launched brand.

As per a statement to the stock exchanges, JSW Paints will acquire the decorative paints business of Akzo Nobel India, valuing the unit at around ₹6,800 crore. As part of the transaction, JSW Paints, along with group entities JTPM Metal Traders and JSW EduInfra, will launch a mandatory open offer to acquire up to 25.24 percent of Akzo Nobel India’s equity from public shareholders at ₹3,417.77 per share. The open offer, totaling up to ₹3,929 crore, is subject to adjustment to ensure total promoter holding stays within the 75 percent limit.

“Paints and coatings is one of India’s fastest-growing sectors,” said Parth Jindal, managing director of JSW Paints and the man who led the transaction from the Jindal family’s side. “With the magic of Dulux and the thoughtfulness of JSW Paints, we look forward to building the paint company of the future.”

Akzo Nobel India, which markets well-known global brands such as Sikkens, has been a strong performer for its Dutch parent. “We are confident the business is in the hands of a long-term partner with deep local expertise,” said Akzo Nobel N.V. chief executive officer Greg Poux-Guillaume.

The transaction is expected to reshape the competitive landscape in India's decorative and industrial paints segment, which is projected to grow in double digits over the next decade, driven by rising home improvement demand and infrastructure expansion.

JSW Paints, launched in 2019, is part of the $23 billion JSW Group, a diversified Indian conglomerate with interests spanning steel, cement, energy, infrastructure, and green mobility.

The deal is subject to approval from the Competition Commission of India and successful completion of the open offer.