Berger Paint Forms JVC In India With Rock Paint, Japan
Berger Paints India Limited (Berger) has entered into a Shareholders' Agreement with Rock Paint Company Limited of Japan (Rock Paint) for the purpose of forming a joint venture company for the sale of superior automotive refinish paints in India and Nepal. The joint venture company is proposed to be named as "Berger Rock Paints Private Limited". Berger will hold 51% and Rock Paint will hold 49% in the share capital of the joint venture company.
Earlier in 2017, Berger and Rock Paint had entered into a memorandum of understanding and had carried out trial sales of automotive refinish paints in India. The results of the trial sales have been encouraging and the alliance has culminated in signing the agreement. The companies are optimistic that the high quality automotive refinish paints will have considerable demand in the Rs 2,000 crore automotive refinish market in India.
The joint venture company will benefit from the market knowledge and infrastructural strength of Berger in India and the technical expertise and high-end products from Rock Paint.