Asian Paints, Berger Paints slip 6% after Grasim doubles capex plan

Grasim has doubled the capital expenditure for its foray into the paints business to Rs 10,000 crore.

Shares of paint companies were under pressure as Asian Paints and Berger Paints fell 6 per cent in Wednesday's trade, after Grasim Industries doubled the capital expenditure (capex) for its foray into the paints business to Rs 10,000 crore. The Aditya Birla Group diversified firm expects to start production from the fourth quarter of 2023-24 (FY24).

“Market dynamics of the decorative paints sector has changed with new capacities being announced backed by strong growth and outlook. We have accelerated the execution of our paint’s capacity of 1,332 MLPA with commissioning of plants to start by Q4FY24. The project cost