JSW Paints plans to expand its business by acquiring a major stake of 74.56% of Akzo Nobel India for ₹ 9,000 crore. This takeover will make JSW Paints an important leader in the decorative and industrial paint sector. The transaction is anticipated to close by mid-June and will be accompanied by an open offer to acquire an additional 26% stake in the company.
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The deal will make JSW Paint the fourth biggest player in the decorative paint market and second in the industry. Akzo Nobel is a Dutch multinational company. It ranks among Europe’s largest paint manufacturers and is the owner of the Dulux brand. The deal’s success will also enable JSW Paints to generate 10,000 crore.
The reason behind this deal might be an important financial expenditure. According to the rumours, JSW Paints is involved with private equity for funding support, and recently, there has been a meeting with global debt and credit funds to plan financing for this acquisition. Citigroup Investment Bank is a sell-side advisor on this transaction.
