Berger Paints Enters Into Agreement With Nippon Paint Automotive And Isaac Newton Corporation

Berger Paints India Limited on Tuesday announced that it has entered into a novation agreement today with Nippon Paint Automotive Coatings Co., Ltd., a corporation organized under the laws of Japan (NPAC) and Isaac Newton Corporation (INC), a corporation organized under the laws of British Virgin Islands, the company announced through an exchange filing.

Through the filings, the company said, NPAC and Berger were parties to an Amended and Restated Joint Venture Agreement dated April 28, 2016 which regulates their relationship as shareholders of Berger Nippon Paint Automotive Coatings Private Limited. INC entered into a share purchase agreement dated 10th August 2021 in relation to the transfer of the shares in the Company held by NPAC (Sale Shares) to INC.

The purpose of entering into the agreement were to substitute NPAC as shareholder of the Company in place of INC.

The Novation Agreement will carry on with the terms of the original joint venture agreement whereby NPAC shall have the right to appoint one more Director than Berger and the parties will have the usual rights mentioned in the N Agreement including right of first refusal in case of share transfer to third parties. Important matters require affirmative votes of both parties, the company said via the filing.

Berger Paints India Limited shares

The shares of Berger Paints India Limited on Tuesday at 12:41 pm IST were at Rs 718.50, up by 1.34 percent.