Business

IIE DIGITAL DESK :  Mumbai, June 27 – JSW Paints, a subsidiary of the ₹2.4 lakh crore JSW Group, announced today a landmark acquisition: 74.76% stake in Akzo Nobel India, the country’s renowned Dulux, Sikkens, and International paint brand portfolio, for a headline price of ₹8,986 crore (₹9,000 crore rounded). The deal, structured as a share purchase agreement with the Dutch parent and promoter entities, positions Akzo Nobel India’s total valuation at roughly ₹12,000 crore (approx. $1.1 billion).

Launched in 2019 under Managing Director Parth Jindal, JSW Paints has rapidly climbed the ranks in a highly competitive Indian market. With this deal, it instantly becomes the fourth-largest paints player behind Asian Paints, Berger, and Kansai Nerolac . JSW outpaced rival bidders—including Indigo Paints with Advent International and Pidilite—to secure Akzo’s premium segment stronghold .

A mandatory open offer for the remaining roughly 25% public shares will follow per SEBI rules, potentially taking JSW's shareholding in Akzo Nobel India to as much as 75% .

Akzo Nobel India's Dulux brand, a market leader in the luxury/ultra-premium segment, commands approximately 20% of this niche (~₹15,000 crore market), with pricing typically 30–50% above mass products . This gives JSW access to high-margin products and urban consumers, strengthening its portfolio across both decorative and industrial lines.

The Indian paints market, worth an estimated ₹80,000–90,000 crore (~$10 billion), is projected to grow at ~10–12% annually, reaching potentially $15 billion by 2029 .

The shares of Akzo Nobel India surged around 11% to approximately ₹3,192 on the BSE following the announcement; the transaction pricing implies a 16% discount to the prior day's share price of ₹2,762.05. Analysts view the deal favorably but caution about integration risks, particularly as JSW assimilates a premium brand into its existing operations .

The acquisition is contingent on Competition Commission of India (CCI) approval and a mandatory open offer to minority shareholders. Akzo Nobel India’s Dutch promoters are expected to exit fully, though Akzo Nobel N.V. will retain industrial coatings and R&D functions in India . The transaction, expected to close by Q4 2025, will include an open tender valued at around ₹3,900 crore.

Parth Jindal described the takeover as a “transformative step” in JSW’s ambition to build “the paint company of the future,” integrating global brands and expanding local capacity . JSW Paints aims to maintain an 80:20 mix between decorative and industrial paints by 2025, and this acquisition fast-tracks that objective

This deal intensifies the fight for market share, particularly in the high-value urban premium segment. While JSW consolidates newly acquired assets, competitors like Birla Opus, Asian Paints, Berger, and PIDILITE are expected to ramp up efforts to defend or expand their segments 

JSW Paints’ acquisition of Akzo Nobel India marks the largest transaction in India's decorative paint industry, signaling a major shift in power dynamics. With Dulux and its sister brands in its fold, JSW is positioned to challenge established leaders with an enhanced product portfolio, premium market access, and strengthened industrial capacity. As regulators weigh in and integration begins, the deal sets the stage for intense competition and strategic growth in India's booming paint sector.