Asian Paints Doubles Returns On Exit From Akzo Nobel
Asian Paints offloaded stake in Akzo Nobel for around Rs 730 crore, while the same was acquired by it for Rs 360 crore in FY18.
India’s largest paint maker, Asian Paints, is navigating an intensely competitive phase, but that hasn’t stopped the company from doubling the returns on its investment in Akzo Nobel India.
Asian Paints had acquired a stake in Akzo Nobel in fiscal year 2017-18, when the fair value of the holding was around Rs 359.81 crore. The company has now sold its entire stake through an open market transaction, offloading over 20 lakh shares at approximately Rs 3,651 per share on the NSE. The deal is valued at about Rs 730 crore.
According to stock delivery data, Akzo Nobel saw a delivery volume of 92.19% on July 9, with a total delivery of 20.72 lakh shares.
The stake sale was executed at a 6.8% premium to the open offer price of Rs 3,417.77 per share, made by the JSW Group for a 25.14% stake in Akzo Nobel India.
As of March 2025, Asian Paints held a 4.42% stake in Akzo Nobel India.
Asian Paints exit was imminent after JSW Group acquired majority stake in Akzo Nobel.
JSW acquired the stake through a share purchase agreement signed on June 27. JSW Paints has entered into an SPA with Akzo Nobel's promoters, Imperial Chemical Industries Ltd. and Akzo Nobel Coatings International B.V., who hold 50.46% and 24.30% of the company's shares, respectively.
