Grasim Industries doubles its paint business investment plans to Rs 10,000 crore by FY25GRASIM - 2016 Change: 10.60 (0.53 %)
News: Grasim Industries plans to commission paint production capacity of 1.3 MTPA by FY24 by doubling the investments to Rs 10,000 crore.
Views: We believe Grasim has a strong foothold in the building material business through its group companies. This will help the company to leverage its dealer networks and gain market share largely from the unorganized players (~25% of total industry). The decorative paint industry has grown at CAGR of 12% in last five years and has seen entrance of various national and international brands into domestic markets. However, the top players continue to maintain their market share indicating more formalisation of the paint industry.