Latest news with #AkzoNobel
Time of India
5 hours ago
- Business
- Time of India
JSW to buy Dulux paints biz for Rs 9,000 crore
MUMBAI: JSW Paints will acquire about 75% stake in Dulux-owner Akzo Nobel's India unit for Rs 9,407 crore ($1.1 billion) - marking the country's biggest deal in the sector amid growing competition. The acquisition will position JSW Paints, established by steel tycoon Sajjan Jindal in 2019, as the fourth largest player in the industry dominated by Asian Paints, Berger Paints, and Kansai Nerolac. The industry saw a new entrant in 2024 when Aditya Birla Group launched Birla Opus. JSW Paints plans to acquire an additional 25% stake from Akzo Nobel India's public shareholders through an open offer for Rs 3,929 crore, in accordance with Indian takeover regulations. Public shareholders will receive Rs 3,418 per share in the open offer, while the Dutch firm will receive Rs 2,762 per share from JSW Paints. JSW Paints will purchase the required number of shares from the Dutch company to maintain a 75% ownership in Akzo Nobel India, based on the response to the open offer. Upon the deal's completion, JSW Paints, a part of the $23-billion JSW Group, will become Akzo Nobel India's promoter, with the Dutch firm potentially retaining public shareholder status. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Giao dịch CFD với công nghệ và tốc độ tốt hơn IC Markets Đăng ký Undo Akzo Nobel India's shares ended at Rs 3,405 per share on the BSE on Friday, up nearly 7%. "We are excited to welcome them to the JSW family. Together, along with the Akzo Nobel India family - employees, customers and partners - we aspire to build the paint company of the future," said Parth Jindal, MD of JSW Paints and son of Sajjan Jindal. Akzo Nobel, ranked fourth globally in paint manufacturing by market value after PPG, Nippon Paint, and Sherwin-Williams, owns stakes in Akzo Nobel India through Imperial Chemicals (50.5%) and Akzo Nobel Coatings (24.3%). Akzo Nobel entered India in 2008 by acquiring the British company Imperial Chemical Industries. Following an assessment of its South Asia operations in 2024, it decided to divest its decorative paints business in India to streamline expenses and strengthen its core coating operations. The company will, however, continue to operate its powder coatings business and research centre in India. Akzo Nobel CEO Greg Poux-Guillaume said: "This transaction is a significant milestone in the execution of our strategy. Akzo Nobel India has been a consistently strong performer, and we are proud of the brand and talent that have made it a success." In a regulatory filing, Akzo Nobel India said post-deal, the Dutch company will execute certain corporate brand and intellectual property licensing agreements with it. Akzo Nobel owns well-known brands like Dulux, Sikkens, International and Interpon. Amsterdam-based Akzo Nobel is likely to receive 900 million euros in net cash proceeds. It plans to use around 500 million euros to reduce debt and launch a 400-million-euro-share buyback programme. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Yahoo
6 hours ago
- Business
- Yahoo
AKZOY vs. AIQUY: Which Stock Is the Better Value Option?
Investors looking for stocks in the Chemical - Diversified sector might want to consider either Akzo Nobel NV (AKZOY) or Air Liquide (AIQUY). But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look. Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits. Currently, both Akzo Nobel NV and Air Liquide are holding a Zacks Rank of #2 (Buy). This means that both companies have witnessed positive earnings estimate revisions, so investors should feel comfortable knowing that both of these stocks have an improving earnings outlook. But this is just one piece of the puzzle for value investors. Value investors analyze a variety of traditional, tried-and-true metrics to help find companies that they believe are undervalued at their current share price levels. Our Value category highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years. AKZOY currently has a forward P/E ratio of 13.78, while AIQUY has a forward P/E of 27.30. We also note that AKZOY has a PEG ratio of 0.76. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. AIQUY currently has a PEG ratio of 2.46. Another notable valuation metric for AKZOY is its P/B ratio of 2.33. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, AIQUY has a P/B of 3.94. These are just a few of the metrics contributing to AKZOY's Value grade of B and AIQUY's Value grade of D. Both AKZOY and AIQUY are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that AKZOY is the superior value option right now. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Akzo Nobel NV (AKZOY) : Free Stock Analysis Report Air Liquide (AIQUY) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Reuters
16 hours ago
- Business
- Reuters
Breakingviews - AkzoNobel sale flags India's foreign capital angst
MUMBAI, June 27 (Reuters Breakingviews) - What's good for Indian tycoons is not always good for India. Dutch paint maker AkzoNobel ( opens new tab is selling a controlling stake in its local unit to the domestic JSW Group. The deal fits into its goal to focus its global portfolio amid a hypercompetitive market – but it also deepens India's capital outflow woes. The $12 billion maker of the Dulux paint brand on Friday said it would offload, opens new tab up to a 75% stake in Akzo Nobel India to privately held JSW Paints for $1.1 billion. It will retain full control over its local powder coatings business and research unit. The proceeds from the sale will be used to cut debt and buy back shares of the parent. The transaction comes at an opportune time for AkzoNobel, which decided last October to concentrate on coatings in key geographies. It eases the company away from a market shaken up by the entry last year of local tycoon KM Birla's Grasim Industries ( opens new tab, whose discounts to grab market share are hurting the margins of incumbents. It makes financial sense too, valuing Akzo Nobel India at 22 times EBITDA, more than twice the multiple at which the parent's Amsterdam-listed shares trade. Inspired by these sorts of punchy valuations, multinationals in India have been paring stakes in local units. British American Tobacco (BATS.L), opens new tab sold shares in ITC ( opens new tab to raise $1.5 billion last month, and U.S. appliance maker Whirlpool (WHR.N), opens new tab plans to slash its stake in its Indian business to 20% from 51%. Less benign reasons underpin other transactions. Germany's Siemens sold 90% in its loss-making wind turbine division to TPG amidst cutthroat competition. Swiss drugmaker Novartis is looking for a buyer for its Indian operations, which it says are relatively small, opens new tab compared to other geographies. The slate of assets on offer bodes well for Indian founders looking to grow through acquisitions. But it undermines India's vaunted position as a haven for global capital. Net foreign direct investment during the eight months to the end of November 2024 dropped, opens new tab to $500 million from $8.5 billion in the same period of 2023, per data from the Reserve Bank of India. Blame it on repatriations by global firms, which stood at $44.5 billion for the 12 months ended March 2024, having risen every year since March 2020. Strong valuations aren't exactly bad news. But if they wind up making India look less of a magnet for global capital, they're not uniformly good news either. Follow Shritama Bose on Linkedin, opens new tab and X, opens new tab.
New Straits Times
20 hours ago
- Business
- New Straits Times
JSW strengthens India paints push with US$1.6 billion Akzo Nobel unit deal
BENGALURU: JSW Paints will buy Dutch paint maker Akzo Nobel's Indian arm for about US$1.6 billion, in what will be the country's biggest deal yet in the sector as competition intensifies between established players and new entrants. The deal comes as challenges for Indian paint makers mount, including volatile raw material costs and heightened competition, with billionaire Kumar Mangalam Birla's entry into the sector last year eating into Asian Paints' market share. Dulux Paint-owner Akzo Nobel had announced a review of its South Asia operations last year to rein in costs and boost its core coatings business. Shares of Akzo Nobel India jumped more than 11 per cent after the deal was announced, and were trading 7.6 per cent higher in Mumbai at around 0830 GMT. India's paint and coatings market is expected to reach US$16.37 billion in size by 2030, Mordor Intelligence estimates, from US$10.46 billion in 2025, driven by a boom in infrastructure and real estate development. The deal, which includes debt, will be the Indian paint sector's biggest deal on record, Dealogic data showed. JSW Paints, launched in 2019 and part of the US$23 billion JSW Group, will buy a 74.76 per cent stake in Akzo Nobel India for US$1.05 billion and launch an open offer for the roughly 25 per cent held by public shareholders. Parent Akzo Nobel, the fourth-largest paint maker in the world by market capitalisation behind PPG, Nippon Paint and Sherwin-Williams, will continue to retain its research and development centre and powder coatings business in India. GROWING COMPETITION Once completed, the deal will propel JSW Paints to fourth place by market share in a sector dominated by Asian Paints , Berger Paints and Kansai Nerolac, according to Geojit Financial Services analyst Antu Thomas. Birla-owned Grasim launched Birla Opus in 2024, crowding the already-competitive market. Birla has since filed an antitrust complaint against Asian Paints for allegedly abusing its market position, Reuters has reported. In 2022, the competition regulator closed a case filed by JSW Paints against Asian Paints for abusing its market position, saying it found no breach of competition laws. "While this acquisition offers JSW Paints a significant scale-up opportunity, near-term integration challenges could provide an opportunity for incumbent players to strengthen their market position in the luxury segment," Amit Purohit, vice president at Elara Capital said. Akzo Nobel is likely to rake in 900 million euros in net proceeds and plans to launch a 400 million euro share buyback program after the deal's closing, which is expected in the fourth quarter of 2025.
New Straits Times
20 hours ago
- Business
- New Straits Times
JSW strengthens India paints push with $1.6 billion Akzo Nobel unit deal
BENGALURU: JSW Paints will buy Dutch paint maker Akzo Nobel's Indian arm for about US$1.6 billion, in what will be the country's biggest deal yet in the sector as competition intensifies between established players and new entrants. The deal comes as challenges for Indian paint makers mount, including volatile raw material costs and heightened competition, with billionaire Kumar Mangalam Birla's entry into the sector last year eating into Asian Paints' market share. Dulux Paint-owner Akzo Nobel had announced a review of its South Asia operations last year to rein in costs and boost its core coatings business. Shares of Akzo Nobel India jumped more than 11 per cent after the deal was announced, and were trading 7.6 per cent higher in Mumbai at around 0830 GMT. India's paint and coatings market is expected to reach US$16.37 billion in size by 2030, Mordor Intelligence estimates, from US$10.46 billion in 2025, driven by a boom in infrastructure and real estate development. The deal, which includes debt, will be the Indian paint sector's biggest deal on record, Dealogic data showed. JSW Paints, launched in 2019 and part of the US$23 billion JSW Group, will buy a 74.76 per cent stake in Akzo Nobel India for US$1.05 billion and launch an open offer for the roughly 25 per cent held by public shareholders. Parent Akzo Nobel, the fourth-largest paint maker in the world by market capitalisation behind PPG, Nippon Paint and Sherwin-Williams, will continue to retain its research and development centre and powder coatings business in India. GROWING COMPETITION Once completed, the deal will propel JSW Paints to fourth place by market share in a sector dominated by Asian Paints , Berger Paints and Kansai Nerolac, according to Geojit Financial Services analyst Antu Thomas. Birla-owned Grasim launched Birla Opus in 2024, crowding the already-competitive market. Birla has since filed an antitrust complaint against Asian Paints for allegedly abusing its market position, Reuters has reported. In 2022, the competition regulator closed a case filed by JSW Paints against Asian Paints for abusing its market position, saying it found no breach of competition laws. "While this acquisition offers JSW Paints a significant scale-up opportunity, near-term integration challenges could provide an opportunity for incumbent players to strengthen their market position in the luxury segment," Amit Purohit, vice president at Elara Capital said. Akzo Nobel is likely to rake in 900 million euros in net proceeds and plans to launch a 400 million euro share buyback program after the deal's closing, which is expected in the fourth quarter of 2025.
