Leading European paint manufacturer Akzo Nobel is considering options to either partner with a larger company or sell its Indian operations in response to the ongoing consolidation in the South Asian paint market.
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Currently holding a 5% market share with its Dulux brand in India, the company, Akzo Nobel, aims to navigate a competitive landscape dominated by major players like Asian Paints and the Aditya Birla group's new Birla Opus brand.
During a recent analyst call, CEO Gregoire Poux-Guillaume stated that Akzo Nobel is open to becoming a minority partner or exiting the market entirely, emphasising the need for strategic collaboration in an evolving industry. He noted that the Indian paint market is experiencing significant consolidation, with companies seeking to differentiate themselves and expand their reach.
Akzo Nobel has been operational in India for over 70 years and boasts a market capitalization exceeding ₹17,000 crore. The company also operates in Pakistan, Sri Lanka, and Indonesia, making it well-positioned to engage in the dynamic South Asian decorative paints market, which is increasingly ripe for consolidation.