JSW Paints will acquire the entire shareholding of Akzo Nobel India from its promoters. Following the announcement, Akzo Nobel India's stock surged over 11% on Friday.
The Indian benchmark indices were seen trading with modest gains on Friday. The Nifty Bank inched to a fresh all-time high. Apart from Nifty Bank, which scaled to a fresh all-time high, one stock which gained limelight on Friday is Akzo Nobel India.
Akzo Nobel India is one of the leading paint and coating companies. Akzo Nobel's share price jumped over 11% on Friday after the company announced that JSW Paints would acquire the entire shareholding of the company. As of 11:08 am IST, the stock price is trading at ₹3,426 per share, up by 7.46%.
JSW Paints Limited has entered into a Share Purchase Agreement (SPA) with Imperial Chemical Industries Limited and Akzo Nobel Coatings International B.V., the two promoter entities of Akzo Nobel India Limited, to acquire up to 74.76% of the company's equity. This strategic acquisition will result in a change of control and a shift in the promoter shareholding of Akzo Nobel India Limited.
Under the terms of the agreement signed on June 27, 2025, JSW Paints has agreed to acquire up to 3,40,44,335 equity shares of Akzo Nobel India, constituting 74.76% of the voting share capital. The shares will be purchased from the two sellers — Imperial Chemical Industries Limited (Seller 1), which currently holds 50.46%, and Akzo Nobel Coatings International B.V. (Seller 2), which holds 24.30%. The price agreed for the transaction is ₹2,762.05 per share, with total consideration estimated up to ₹9,403 crore, subject to regulatory approvals.
As per the SEBI Regulations, JSW Paints, along with JTPM Metal Traders and JSW EduInfra, has announced an open offer to acquire an additional 25.24% stake from public shareholders. The offer is for up to 1,14,95,979 equity shares at ₹3,417.77 per share, totalling ₹3,929 crore, assuming full acceptance.
Upon successful completion of the open offer and the underlying transaction, JSW Paints and its affiliates will hold up to 75% of Akzo Nobel India. The existing promoters will be reclassified as public shareholders. This acquisition marks a complete transfer of control, with JSW Paints becoming the sole promoter of the company.
The open offer is being managed by Morgan Stanley India Company Pvt Ltd, and the next step will be the publication of the Detailed Public Statement (DPS) by July 4, 2025.
Akzo Nobel reported a 5% year-on-year growth in revenue from operations for the quarter ended March 2025, reaching ₹1,022.10 crore compared to ₹973.40 crore in the same quarter last year. However, net profit for the quarter saw a slight decline of 1.19% to ₹107.50 crore against ₹108.80 crore in the corresponding period of the previous year. This decline was attributed to lower investment income.
For the full financial year ended March 2025, the company’s revenue rose by 3.27% to ₹4,091.20 crore, up from ₹3,961.60 crore in FY24. Annual net profit also showed a marginal increase of 0.45%, standing at ₹428.60 crore as compared to ₹426.70 crore in the previous fiscal.
Looking at the stock performance, the stock price has given 8.20% returns in the last week, while on a year-to-date basis, the stock is down by 2.81%. In the last 12 months, the stock price has seen an increase of 19.27%.
Check the latest updates on Akzo Nobel India Share Price as the stock reacts to these developments.
AkzoNobel India is a leading producer of paints and coatings, operating across various segments including decorative paints, performance coatings, and speciality chemicals. The company's product portfolio includes well-known brands such as Dulux, offering a wide range of interior and exterior paints, as well as industrial coatings used in sectors like automotive, marine, and packaging. AkzoNobel India is focused on innovation and sustainability, developing products that are environmentally friendly and meet the evolving needs of its customers.
Disclaimer: The article is for informational purposes only and not investment advice.
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