Key Highlights :
JSW Paints to buy Akzo Nobel India 74.76% for up to ₹9,400 crore with ~17% discount.
Transaction is for filing of mandatory open offer and expected to complete by Q4 2025.
Key Background :
In a big bid to leave its imprint on the Indian paints market, JSW Paints has signed binding agreements to buy a majority of Akzo Nobel India shares. The promoters—Akzo Nobel Coatings International and Imperial Chemical Industries—will be selling their whole 74.76% holding in JSW Paints. The transaction puts a rough estimate of ₹12,500 crore on the Indian business and is the biggest consolidations in Indian decorative and industrial paint industry.
The consideration at which the takeover is agreed for per share stands at approximately ₹2,762, which is significantly less compared to the last market close, hence the purchase an astute bargain for JSW Paints. This type of takeover under Indian security regulations necessitates a compulsory open offer of the remaining 26% shares by public investors. On subscription in full, JSW may end up possessing up to 100% interest in Akzo Nobel India.
Although this is a business strategy of JSW Paints to increase its market size and product portfolio, it is also a strategized exit by Akzo Nobel’s worldwide management in their business realignment program. Akzo Nobel’s worldwide CEO rationalized it as a step of consolidation of global operations and focus on other high-priority markets for their business.
JSW Paints, a new entrant begun in 2019, has already established itself well in India’s competitive paints sector. Leveraging its emphasis on innovation, customer-led design, and scale of operations, the company achieved its initial operating profit in FY2024. The deal will provide JSW Akzo Nobel’s premium global brands, technical expertise, and strong dealer network, making it more competitive.
India’s paints market stands at ₹80,000–90,000 crore today and will grow at a CAGR of 10–12% over the next two years. By this acquisition, JSW Paints is not only acquiring a huge market share, but also acquiring a strong presence in the decorative and industrial paint market—two segments dominated by a handful of big players.
The deal, pending approval by the Competition Commission of India, among others, is anticipated to complete in the fourth quarter of 2025. The deal has the support of a network of financial and legal advisors and the two firms have been bullish about the synergistic advantage of this strategic partnership.