JSW Paints is set to acquire Akzo Nobel India, surpassing a rival bid. An exclusivity agreement has been signed for final negotiations. This acquisition will significantly boost JSW's market position. It will potentially lead to an IPO. The deal involves a reverse merger and funding from various financial institutions. The promoters will also infuse equity.
Reliance Industries is considering selling its 4.9% stake in Asian Paints, a 17-year-old investment, amid increasing competition and margin pressures in the Indian paints market. The sale, managed by Bank of America, could fetch ₹11,141 crore, representing a significant return on Reliance's initial investment. However, the deal hinges on securing bids within the desired price range.
Asian Paints, India's leading paint manufacturer, is facing increased competition. Grasim Industries, led by Kumar Mangalam Birla, has gained significant market share in its first year. Asian Paints' market share declined to 52%. Grasim's Birla Opus now holds 6.8% of the market. This intense competition has impacted Asian Paints' profits.
Asian Paints experienced a significant 33% drop in net profit, marking its worst performance in over two decades due to weakened demand and increased competition, particularly from the entry of Aditya Birla Group's Birla Opus. The company's Pbdit margin also declined by 360 basis points.
Tramontina India is aggressively expanding its presence through a multi-channel retail strategy, including quick commerce platforms, and local manufacturing. Targeting over $10 million in revenue in its second year, the company aims to shift its sales mix towards e-commerce. With localized production and a focus on the HoReCa segment, Tramontina plans to introduce new categories aligned with India's kitchen ecosystem.
IKEA is expanding its next-day ecommerce delivery service to more Asian markets, building on the success of its pilot program in India. The Swedish retailer plans to launch the service in Japan and South Korea soon, with India already achieving a 90-95% next-day delivery rate for online orders.
IKEA is shifting its India strategy by introducing compact stores in smaller cities to enhance accessibility. These stores, as small as 10,000 sq ft, will feature digital catalogs showcasing IKEA's 7,000 products, with diverse delivery options. While initially focusing on six major cities, IKEA plans to explore tier II and III cities.
Kokuyo, a Japanese brand, is set to acquire HNI India. This move will expand Kokuyo's presence in the Asian office furniture market. The acquisition aligns with Kokuyo's growth strategy. HNI India has a manufacturing unit in Nagpur. The company reported revenue of over Rs 200 crore. Kokuyo aims to rebrand HNI India under its name soon.
Vinod Intelligent Cookware is set to launch in Singapore. The company partners with Waangoo for distribution. This move marks Vinod Cookware's expansion into Southeast Asia. The aim is to bring authentic Indian cookware to Singaporean homes. Vinod Cookware plans further expansion in the region. The company focuses on durable, high-performance products. This partnership combines tradition with innovation for customers.
KAFF Appliances has appointed Nalin Kumar as its new chief operating officer (COO). Kumar brings over two decades of experience in the consumer durables and appliances sector. He will oversee operations, drive efficiency, and enhance customer and partner experiences across India. Previously, Kumar held leadership roles at prominent home appliance and consumer electronics brands.
Prior to Shalimar, Raina was associated with Nerofix, a Kansai Nerolac Paints Group company, as its CEO. He has over three decades of experience and worked at firms like Jubilant Industries, Arvind Brands, and ITC.
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