Asian Paints to acquire ICI India`s unit for Rs52 crore

20 Feb 2007

Mumbai: Asian Paints Ltd will acquire ICI India's auto refinish business for Rs52 crore, through Asian PPG Industries, a 50:50 joint venture between Asian Paints and PPG Industries Inc.

In a release issued to the exchanges, Asian paints said that US-based PPG Industries Inc has signed a definitive agreement with ICI India, as a result of which a portion of its auto refinish business comprising advanced refinish range (2K) would be acquired by Asian PPG Industries Ltd.

The JV company has about 60 employees and it had registered a sales revenue of around Rs 50 crores for the financial year ended March 31, 2006.

The business of ICI India would be acquired as a going concern over the next few weeks, it said. The divestment would enable ICI India to focus on its aggressive growth strategy for its decorative and conventional refinish segments, it release added.