Mumbai: Asian Paints on Friday announced investments in two smaller companies, one dealing in fenestration and the other lighting, as part of its strategy to diversify into consumer home decoration beyond paints.
The company will be investing ₹180 crore in lights and fans seller White Teak for a 49% stake. The company will acquire the remaining 51% in the company over the coming four years in two tranches.
Similarly, the company will be investing ₹19 crore in Weatherseal Fenestration for a 51% stake and will acquire an additional 23.9% stake over the next three years in a staggered manner, as per a regulatory filing.
“We want to make a movement from ‘share of surface’ to ‘share of space’ within the home. Whether it is the kitchen, whether it is bath or fabrics and furnishing, we have been making forays in these categories in a very strong way,” Amit Syngle, managing director of Asian Paints, said during an investor presentation on Friday evening.
“The current initiatives with White Teak is in the whole decorative lighting space and the other is Weatherseal, which is in the uPVC doors and windows space, I think are very strong forays,” he said.
The company will acquire an additional 11% stake in White Teak in FY24 for a maximum of ₹66 crore, based on the achievement of certain financial milestones, as per a press statement.
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