The paint business is a very competitive business in India with several companies selling their brands at very competitive prices; hence the margin of profit decreases. In the latest development paint manufacturing company JSW Paints has signed a very big deal to buy a 74.7 percent stake in the India unit of Akzo Nobel. As per a report by Economic Times the major deal was done for Rs 9403.22 crore. Akzo Nobel runs its business in India under the brand name ‘Dulux’. This deal has made JSW Paints the fourth-largest paint company in the country. Notably the paint market in India is worth Rs 90000 crore. Following the announcement a proposal will be made to buy 26 percent stake from the small shareholders under the ‘Open Offer’. Notably the price of the offer will be decided according to SEBI rules and at the time of closing the stock market on Thursday. If the open offer is successful JSW will buy a proportional stake from Akzo but more than a 75 percent stake. It means Akzo Nobel may retain a portion of the stake. JSWs Biggest Acquisition According to a report by Economic Times which was published on May 26 JSW has agreed to the deal worth USD 1 billion making it biggest acquisition deal of the company. Akzo Nobel will sell its stake through two promoter companies including Imperial Chemical Industries Ltd which holds 50.46 stake in the company and Akzo Nobel Coatings International BV which has a 24.40 percent stake. Companies That Left Behind Parth Jindal won competing bids from a consortium of Indigo Paints and Advent International as well as adhesive giant Pidilite Industries. The company stated in January that buying a stake in Akzo Nobel India is an exciting opportunity. Perth Jindal It is worth mentioning that Akzo Nobel’s brand Dulux Paints operates in the luxury and ultra-premium segments. The company has a a good hold in cities hence this deal will benefit JSW Paints in market reach.