Akzo Nobel India Streamlines Business with Major Asset Transfer

Akzo Nobel India is transferring its powder coatings business and R&D center to its Dutch parent, Akzo Nobel NV, for Rs 2,143 crore. These moves aim to streamline the company’s focus on its core liquid paints business. Shareholder approval is pending for this strategic realignment.

Paint maker Akzo Nobel India has taken significant steps to streamline its business operations by transferring its powder coatings segment and international R&D center to its Dutch parent, Akzo Nobel NV, in a deal valued at Rs 2,143 crore. This strategic move aligns with the company's focus on its core liquid paints and coatings business.

The board of Akzo Nobel India Ltd has accepted a binding offer from Akzo Nobel NV, which includes a Rs 2,073-crore slump sale of its powder coatings business and a Rs 70 crore transfer of the international research center. This comes as part of an effort to divest non-core assets.

Additionally, Akzo Nobel India will acquire the intellectual property rights for decorative paints business from Akzo Nobel Coatings International BV for Rs 1,152 crore. The transactions, requiring shareholder approval, are set to close by December 2025, positioning Akzo as a more focused entity in the decorative paints sector.