In a groundbreaking move that is set to reshape the dynamics of the Indian paint industry, JSW Paints has secured the Competition Commission of India’s approval to acquire up to 75% stake in Akzo Nobel India, the maker of leading paint brands like Dulux and Sikkens. Valued at a massive ₹12,915 crore, this deal marks one of the largest consolidations in the paint sector, positioning JSW Paints as the fourth-largest player nationwide.
The acquisition, first announced in June 2025, includes JSW Paints buying a 74.76% stake for ₹8,986 crore, followed by an open offer to public shareholders for the remaining 25.24% at ₹3,929 crore. The completion of this transaction is anticipated by the fourth quarter of 2025, pending other regulatory clearances.
Strategic Expansion and Market Impact
JSW Paints, a relatively new entrant into the paint business since 2019 and part of the diversified $23 billion JSW Group, has struggled to capture significant market share until now. This acquisition instantly grants JSW access to Akzo Nobel’s robust premium brand portfolio and an extensive distribution network spanning more than 22,000 outlets across India.
By integrating Akzo Nobel India’s operations, which reported revenues exceeding ₹4,000 crore in FY25, JSW Paints accelerates its growth strategy in the competitive decorative and industrial paint segments. This move also intensifies competition among the top paint companies in India—Asian Paints, Berger Paints, Kansai Nerolac, and now JSW Paints—further transforming the industry’s competitive landscape.
Industry Disruption and Growing Competition
The Indian paint sector, currently worth an estimated ₹72,000-90,000 crore, has witnessed substantial disruption with new entrants like Birla Opus rapidly gaining market share. Asian Paints, the market leader, has seen its dominance dip from 59% to 52%, underscoring the growing challenges within the industry. With JSW Paints’ acquisition of Akzo Nobel India, it is poised to become a formidable fourth player, bringing renewed competitive pressure and innovation to the space.
Financial and Regulatory Highlights
This deal underlines JSW Group’s commitment to expanding its footprint beyond traditional sectors like steel and cement into high-potential consumer industries. Financing for the acquisition involves a balanced mix of internal accruals, bank loans, and private equity participation, reflecting JSW’s strategic financial planning.
Akzo Nobel NV retains ownership of its India Powder Coatings business and the International Research Centre, focusing its efforts on core global operations while entrusting the Indian market to JSW’s rising paint portfolio.
With regulatory approvals finalized, the paint industry is set for a new era of consolidation, competitive innovation, and growth fostered by strategic moves like JSW Paints’ acquisition of Akzo Nobel India. This deal is likely to influence market trends, pricing strategies, and consumer choices across India in the coming years.
