Latest news with #SajjanJindal
Mint
10 hours ago
- Business
- Mint
JSW fires a fresh salvo even as paintmakers battle to protect turf
Mumbai: India's paintmakers must gird up for a tougher battle from two upstarts. Birla Opus, owned by billionaire Kumar Mangalam Birla, has already shaken up the nation's paints sector with its pricing war. Now, JSW Paints Ltd's ₹9,300-crore acquisition of Dutch giant AkzoNobel's India unit portends a tighter squeeze on the profitability of their peers as they battle to protect turf. The deal by JSW Paints, part of billionaire Sajjan Jindal's steel-to-cement empire, will not immediately change the competitive landscape as it merely changes ownership from a multinational to a local player, according to Abneesh Roy, executive director for research at Nuvama Institutional Equities. 'But this is positive for JSW Paints. Over the next five years, we see Kansai, Akzo + JSW, Birla fight for the No. 3,4,5 slots, and also take some share from [other] local players." The sector is already grappling with tepid demand for decorative paints due to a slowdown in new construction and elongating repainting cycles. Birla Opus' discounting to win over market share is squeezing the profitability of incumbents. India's largest paintmaker Asian Paints Ltd's operating margin shrank to 17.7% in FY25 from 21.4% in FY24. To be sure, India's paints industry is expected to reach $15.04 billion by 2029, growing at an annualized rate of 9.38% from nearly $9.60 billion in 2024, according to a report by ICICI Direct. But the entry of two billionaire-led upstarts in the past half a decade has shaken up the long-standing leaderboard. While the exact market shares differ based on products such as decorative and industrial paints and associated materials like coatings and putty, industry insiders estimate that Birla Opus has achieved a podium position this year, and the JSW-AkzoNobel combine is within a striking range of the fourth position. They estimate the new pecking order as: Asian Paints, Berger Paints India, Birla Opus, Kansai Nerolac, JSW Paints (including Akzo Nobel India) and Indigo Paints. Analysts at Nuvama expect Asian Paints and Berger Paints to put up a fight to protect their sales. They are also positive on Indigo Paints. The companies are expected to snatch share from unorganized players, who still hold around 25% of the market. While the two upstarts have cornered market share from the incumbents rapidly, growth may be more challenging from here. 'A proper integration after acquisition is essential. Simply acquiring a company will not make you a strong player overnight. You have to work on multiple things before you are a force to be reckoned with," said an analyst on JSW Paints disrupting the market. He spoke on the condition of anonymity as he is not allowed to comment on an individual company before publishing a report. The $23-billion JSW Group, which started as a mining company, has diversified across key sectors like infrastructure, cement, e-commerce platforms and paints. JSW Infrastructure and JSW Energy are listed on the country's stock exchanges. JSW Cement got the market regulator's nod for going public in January. JSW Paints, launched in 2019, has a portfolio spanning decorative and industrial paints. The privately held JSW Group firm will acquire 74.76% in listed Akzo Nobel India Ltd from its Dutch parent Akzo Nobel N.V. and its affiliate for ₹8,986 crore, the company said in a press release. The transaction is priced at ₹2,639.4 per share, a 17.32% discount to Thursday's closing price, according to Mint calculations. In a post on X, JSW Paints managing director Parth Jindal, 35, said it was 'a historic day". 'Akzo Nobel India is home to some of the most globally renowned brands of paints & coatings like Dulux, International and Sikkens. We are excited to welcome them to the JSW family," he said in a statement. 'This transaction is a significant milestone in the execution of our strategy. With JSW, we are confident the business is in the hands of a long-term partner with deep local expertise and strong ambitions in the sector," said Greg Poux-Guillaume, the CEO of AkzoNobel. The Dutch paintmaker had hinted at an exit from India in October last year, when it initiated a strategic review of the business. Apart from JSW Paints, Pidilite Industries Ltd and Indigo Paints Ltd were also in the race for acquiring Akzo Nobel India. Indigo paints, which has consolidated market share in recent years, had come close to entering the top 4 club. Meanwhile, adhesives major Pidilite Industries, which lost the race to buy Akzo Nobel India, is also looking to start its paints journey through in-house capacity development. The company plans to target a growing demand for decorative paints in non-urban areas, Mint reported on 27 March.
Time of India
12 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
News18
2 days ago
- Business
- News18
Stocks To Watch: SBI, JSW Steel, Tata Steel, Voda Idea, Reliance Infra, Nestle, And Others
Last Updated: Stocks to watch: Shares of firms like SBI, JSW Steel, Tata Steel, Voda Idea, Reliance Infra, Nestle, and others will be in focus on Thursday's trade Stocks to Watch on June 26: Indian equity markets extended their gains on Tuesday, maintaining a positive momentum for the second straight session. Buoyed by supportive global cues, the benchmarks ended nearly a percent higher. As markets open today, shares of several companies, including State Bank of India, JSW Steel, Rashtriya Chemicals, Tata Steel, and others, are likely to be in focus due to important corporate developments. SBI is in the final stages of appointing multiple merchant banks to manage its proposed qualified institutional placement (QIP) of up to Rs 25,000 crore. This marks the state-run lender's first equity fundraising via QIP in eight years. JSW Steel JSW Steel, led by Sajjan Jindal, has approached the Supreme Court seeking a review of its May 2 verdict, which annulled the company's acquisition of Bhushan Power and Steel (BPSL). The deal had been pending resolution for over four years. Rashtriya Chemicals and Fertilizers The state-owned firm said it faces a financial impact of approximately Rs 204.14 crore after the Department of Fertilizers (DoF) refused to approve the cost of EPMC and spot gas used at its Trombay urea plant during FY22 and FY23. MSCI ESG Ratings and Research Pvt Ltd has upgraded Kotak Mahindra Bank's ESG rating from A to AA, reflecting improved environmental, social, and governance performance. JSW Energy Through its step-down subsidiary Energizent Power Pvt Ltd, JSW Energy has entered into a Power Purchase Agreement with NHPC Ltd for a 300 MW solar-wind hybrid project connected to the Inter-State Transmission System (ISTS). Nestle India FMCG giant Nestle India will consider a bonus share issue during its upcoming board meeting scheduled for Thursday, June 26. Adani Enterprises The company has approved a public issue of non-convertible debentures (NCDs), initially worth Rs 500 crore, with a green shoe option to raise an additional Rs 500 crore, making the total potential issue size Rs 1,000 crore. Jio Financial Services Jio Financial has informed the exchanges that it has subscribed to and been allotted 19 crore equity shares in Jio Payments Bank, amounting to an investment of Rs 190 crore. Reliance Infrastructure Its subsidiary, Reliance Defence, has bagged an export order worth Rs 600 crore from Germany's Rheinmetall Waffe Munition GmbH, a leading defence and ammunition firm. Central Depository Services (India) Ltd – CDSL CDSL has signed a Memorandum of Understanding (MoU) with IIM Mumbai to leverage data analytics and research for innovation in the capital markets space. Vodafone Idea According to Bloomberg, the struggling telecom operator is in talks to raise up to Rs 250 billion (approximately $2.9 billion) to upgrade its network infrastructure and stem the outflow of subscribers to rival operators. KNR Construction The infrastructure firm has secured a Rs 4,801 crore contract for developing and operating the Banhardih Coal Mining Block in Jharkhand. The project was awarded by Patratu Vidyut Utpadan Nigam Ltd, a joint venture between NTPC and JBVNL. Location : New Delhi, India, India First Published: June 26, 2025, 07:59 IST News business » markets Stocks To Watch: SBI, JSW Steel, Tata Steel, Voda Idea, Reliance Infra, Nestle, And Others
New Indian Express
29-05-2025
- Business
- New Indian Express
Construction of Kadapa Steel Plant will begin in 10 days, assures CM Naidu
KADAPA: Chief Minister N Chandrababu Naidu announced that the construction of the much-anticipated steel plant in Kadapa will commence within the next 10 days. Naidu made this announcement after being re-elected as the National President of the Telugu Desam Party on the second day of the ongoing Mahanadu conclave on Wednesday. The declaration, made by the party's election committee chairman Varla Ramaiah, drew loud cheers from party leaders and workers. After assuming charge, Naidu addressed the party workers and revealed that the Rs 4,500 crore, three-Million Tonnes Per Annum (MTPA) steel project, set to be developed by industrialist Sajjan Jindal's JSW Steel, is expected to generate over 3,000 jobs and serve as a cornerstone for industrial growth in the region. 'This project alone will provide employment to more than 3,000 people,' Naidu told a cheering crowd. 'It marks the beginning of a new industrial era for Rayalaseema.' Highlighting his government's commitment to balanced development, the Chief Minister said, 'Our policy is clear—decentralization of development. We are committed to developing every region of the state equally. Large-scale industries must be established in Rayalaseema to ensure balanced growth.' The Kadapa steel plant had earlier faced multiple delays. However, a recent high-level meeting between CM Naidu and JSW Chairman Sajjan Jindal at the Chief Minister's residence in Delhi helped revive the stalled project, paving the way for swift execution. Naidu also unveiled a bold blueprint for statewide water connectivity, with the Banakacherla project taking centre stage. Calling it a transformative initiative, Naidu declared, 'Once the Polavaram–Banakacherla linkage is completed, the state will see immense benefits.'
Time of India
26-05-2025
- Business
- Time of India
JSW Paints to acquire Akzo Nobel India stake for $1.1 billion
NEW DELHI: JSW Paints, led by Sajjan Jindal , is close to acquiring Akzo Nobel India, valuing the Dutch parent Akzo Nobel NV's 74.76% stake at around Rs 9,000 crore ($1.1 billion). This pegs the total valuation of the Indian unit between Rs 12,000-12,200 crore — a 25% discount to its current market price, as per the Economic Times report. If finalised, the acquisition will elevate JSW Paints to the fourth-largest player in India's decorative paints market and second in the industrial paints segment, significantly strengthening its presence. Akzo Nobel India's market capitalisation stands at Rs 16,380 crore, with its shares closing at Rs 3,582 on the BSE on May 23. The stock has gained 40% in the past year amid growing speculation of a stake sale. The acquisition will trigger an open offer for an additional 26% of Akzo Nobel India, based on regulatory norms and the average share price over the past 60 days. The company has about Rs 700 crore in cash, expected to be distributed to shareholders as dividends. JSW plans to fund the buyout with Rs 3,000 crore in promoter equity and another Rs 3,000 crore in bank financing, with lenders including Deutsche Bank, MUFG, and Axis Bank. The agreement is expected to be finalised by mid-June within a 30-day exclusivity window. The deal follows JSW's successful bid over a consortium of Advent International and Indigo Paints. If completed, it could also bring JSW Paints closer to achieving Rs 10,000 crore in annual revenue, setting the stage for a potential IPO. Akzo Nobel India, which has a 7% market share, offers a diverse range of products from decorative paints to industrial and marine coatings. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
