JSW Paints gets CCI nod to acquire majority stake in Akzo Nobel India biz

New Delhi, Sep 16 (PTI) Fair trade regulator CCI on Tuesday cleared Sajjan Jindal-led JSW Paints' proposal to acquire a majority stake in Dutch paint maker Akzo Nobel's India unit in a Rs 12,915-crore deal.

The development came after JSW Paints announced in June this year that it would buy a 74.76 per cent stake in Akzo Nobel India for Rs 8,986 crore, followed by an open offer to buy another 25 per cent from the open market for up to Rs 3,929.06 crore, totalling over Rs 12,915 crore, to become the fourth-largest player in the paint industry in the country.

"Commission approves the acquisition of up to 75 per cent shareholding in Akzo Nobel India Ltd by JSW Paints Ltd," the regulator said in a post on X.

JSW Paints is a part of the USD 23 billion JSW Group, one of India's leading conglomerates with diverse interests across a range of B2B and B2C sectors, including steel, cement, energy infrastructure, automotives and paints.

Akzo Nobel India Ltd (ANIL) is a decorative and industrial paint player and part of Netherlands-headquartered Akzo Nobel.

In June, Akzo Nobel NV, in a statement, said it has signed an agreement to sell its shareholding in Akzo Nobel India to the JSW Group.

However, the Dutch parent firm also said the India Powder Coatings business and International Research Centre, both currently part of ANIL, will be "retained by Akzo Nobel" under full ownership.

JSW Paints, with other group entities JTPM Metal Traders and JSW EduInfra, has also announced an open offer to acquire the remaining 25.24 per cent share of ANIL from the public shareholders for a total consideration of up to Rs 3,929.06 crore.

The deal will help JSW Group expand its play in the paint segment, which it entered in 2019.

Akzo Nobel's revenue from operations stood at Rs 4,091.21 crore in FY25.

In a separate deal, the Competition Commission of India (CCI) also approved the proposed acquisition of the entire shareholding of IPM Inc and OC NL Invest Cooperatief UA (OC India Sellers) in Owens-Corning (India) Pvt Ltd (Target) by Triumph Composites Pvt Ltd and Quartz Fibre Pvt Ltd.

The acquirers and target are active in the manufacturing and/ or supply of certain specific glass fibre products, such as chopped strand mat, assembled rovings, direct rovings, dry use chopped strands, woven rovings/fabrics, and continuous filament mat.

"CCI approves the proposed acquisition of the entire shareholding of IPM Inc and OC NL Invest Cooperatief UA (OC India Sellers) in Owens-Corning (India) Pvt Ltd (Target) by Triumph Composites Pvt Ltd and Quartz Fibre Pvt Ltd, the competition watchdog said in a post on X.

The deals beyond a certain threshold require approval from the regulator, which keeps a tab on unfair business practices as well as promotes fair competition in the marketplace. PTI HG HG BAL BAL