This website uses cookies to ensure you have the best experience. Learn more

Asian Paints Corporate Governance Analysis

521 words - 3 pages

Share holding Pattern of APL

Analysing the shareholder’s pattern from the above data, we can clearly see that promoter holding in the company is more than 50%
Under Non Promoter holding (B1 and B2), there are two categories – Institutional investors and others.
In case of APL, Institutional investors include – Govt owned financial institutions, public and private sector commercial banks, insurance companies, mutual funds and FIIs. Together Institutional investor stake is around is 26.91
In the others category – Private corporate bodies, Non-resident Indians and overseas corporate bodies etc. comprises 20.30 % stake.
It would be interesting to analyse the shareholding pattern in light of the fact that role of any large shareholder in corporate governance is to the extent which outsiders ...view middle of the document...

The potential for institutional activism therefore in APL, is limited to some extent where through their block holding they can act as countervailing force against promoter. But when we see the ownership structure in contrast to its primary competitor BPL, Asian paints presents a much better picture in terms of any governance issues which may arise.

Major Stock Events:
1. May 2010 – Robust volume growth with substantial improvement in operating margins ~ 19% (best in last 6 years – Stock Price movement
2. May 2010 - Commenced operations in new manufacturing unit at Rohtak, Haryana with capacity of 1, 50,000 Kl with investment of 275 Cr.
3. Jan 2011- Margin decline due to slow increase of key crude based raw material price
4. Oct 2011 – Aggressive price hike to mitigate raw material pressure – Resulted in stock movement
5. May 2012 – Started building decorative paint plant in Khandala with capacity of 3,00,000 Kl scalable to 4,00,000 Kl
6. Jan 2013 – Sustained volume growth coupled with ~ 20% decline in Titanium dioxide (positive movement in Stock price)
7. Jul 2013 – Stock suffered steep decline in anticipation of adverse results due to volatile currency movements
8. Nov 2013 – Sustained volume and strong margins (contrary to expectation) – stock recovery , made a new high
9. Nov 2013 – Powder coating plant closed in Baddi due to decline in volumes
10. Feb 2014 – Unconditional cash offer for the shares of Berger international (BIL), Singapore by APIL Mauritius to make BIL wholly owned subsidiary and delist from Singapore Exchange Securities trading – KEY EVENT FOR GOVERNANCE RELATED ISSUE
11. April 2014 – Asian Paints (International) Ltd, Mauritius, subsidiary of Asian paints acquired 51% stake in Kadisco Chemical Industry PLC, Ethiopia
12. May 2014 – APL acquired entire stake of Ess Ess Bathroom Products Pvt ltd

Other Papers Like Asian Paints Corporate Governance Analysis

Corporate Governance Essay

4897 words - 20 pages failed to detect and stem the rot, before it was too late. Banks are constituted as companies under the companies act and they should be concerned with good governance Corporate governance has always been closely monitored by Asian regulators and this term has been a top priority for them in recent times. This is happening because of the fact that most of the markets have introduced a wide range of regulations. This particular research “Corporate

Corporate Governance in Soccer Essay

3895 words - 16 pages internal governance mechanisms, empowering the shareholders, enhancing the disclosure requirements and enhancing the public enforcement. The paper will focus on the analysis of the Corporate Governance in soccer, with a special emphasis on Europe. Corporate Governance in Soccer The definition of corporate governance has been subject to numerous definitions due to the global diversity of the practices. For instance, Shleifer and Vishny

Corporate Governance

3526 words - 15 pages performance of firms as its function as monitoring and governance mechanism for the board and further enhance firms performance. The proposition of this view come from Fama and Jensen (1983) and Short et al (2002). In Malaysia, debates on corporate governance get a wide attention after the East Asian Financial crisis in middle of 1997.Thus, the government has taken few steps to review and the Malaysian Institute of Corporate Governance (MICG). A

Critical Review on ‘Revisiting the Capital Structure Puzzle: Uk Evidence’

1814 words - 8 pages ., Mahambare, V. & Pal, S., 2007. How does ownership structure affect capital structure and firm value?. Economics of Transition, 15(3), pp. 535-573. Julan, D. & Dai, Y., 2005. Ultimate corporate ownership structures and capital structures: evidence from East Asian economies. Corporate Governance, 13(1), pp. 60-71. La Rocca, M., 2007. The influence of corporate governance on the relation between capital structure and value. Corporate

Ethnic 2011 Index

3807 words - 16 pages ? Senior managers and employees generally Other stakehholders 3.33 Thirty years of corporate governance International development timetable Asian Economic Crisis(1997)->Collaps of Enron/WorldCom/HIH(2002) -->GFC(2008)-->Irish Bailout(2010) -- Greece/Portugal UK -- Cadbury Report etc. US -- Sarbanes -Oxley Act - BRT - CalPERS Other international approaches AUST - Bosch Committee - Ramsay Report Influential reports and legislative reforms to

Corporate Governance

1233 words - 5 pages study, and using other proxies for governance quality may produce different finding. II. Analysis: The paper focused only on the agency theory for explaining why companies pay dividends in the form of testing the relationship between corporate governance and dividend payout. The literature shows that there are other theories that explain company dividend policy: Catering theory of dividends, for instance, was concluded by (Baker &amp

Acc 511 Corpporate Governance & Accountability

1869 words - 8 pages Table of content 1. Question 1 1. Introduce to Corporate Governance 2. Governance makes a Difference 3. Failures of Corporate Governance 4. Failures in Major companies 5. Reform of Corporate Governance 6. Conclusions 2. Question 2 1. Introduce to Cadbury Report 2. Conclusions 3.0 References Question 1 Based on the above it has been stated

Corporate Governance Evaluation And Rating

1614 words - 7 pages , contingent upon the corporation’s capitalisation. The yearly subscription is from the business’s yearly stockholder meeting through the business’s subsequent yearly stockholder meeting. ISS has caught criticism because they provide the Corporate Governance Quotient on the preliminary ISS proxy analysis however, they only allow participant that subscribe for a fee to enhance their ratings via a learning curve as a result of ISS resources (Brown, 2011

Fellow Chartered Accountant

1229 words - 5 pages detailed questionnaire on company operations, and these were circulated to various publicly quoted companies throughout the length and breadth of the country. Thereafter we proceeded to make a comparative analysis of Corporate Governance practices around other jurisdictions and markets with particular emphasis on emerging markets and countries like the U. K. which had similar statutes. With the results of our findings we set about crafting a

CORPORATE GOVERNANCE AND THE ROLE AND INTERNAL AUDIT WITHIN HIGHER EDUCATION IN UNITED ARAB EMIRATES (UAE)

2499 words - 10 pages maturity analysis of institutes towards corporate governance. To examine that, institutes are equipped with policies and procedures or they working without them. Overview of review of the relevant literature There are relevant and related articles and publications. The major highlights related to my topic are listed below. For the fraud available in the financial statements and regular business Vinten, Gerald (ed.) mentioned in

Term Paper

5980 words - 24 pages experience in Bangladesh. Among many competitors Berger has proved its successful stand in paint industries. At first we make, the planning process of Berger Paints. Under planning process Berger decide their vision and mission of the company. Then we make objectives of Berger Paint and the different planning strategies of BPBL. After that we do BCG and SWOT analysis of BPBL. Then we talked about Berger organizational structure, service department

Related Essays

Global Paints And Coatings Market Will Reach $176.5 Billion In 2020

1949 words - 8 pages paints and coatings 4.3 Impact Analysis for Drivers 4.4 Market Restraints 4.4.1 Rising raw material prices is creating obstacles in the growth of paints and coatings market 4.4.2 Declining percentage of new concrete walls built as exterior of corporate buildings is impacting volume sales of paints and coatings 4.5 Impact Analysis for Restraints 4.6 Market Opportunities 4.6.1 Green coatings technologies offer great opportunity area for the paints and

Operation Strategy Of Samsung Essay

4261 words - 18 pages solutions. to achieve the necessary 360-degree view of all stakeholders, asian Paints chose the SaP® Customer relationship management (SaP Crm) application to integrate customer-facing processes. SAP Business Transformation Study Superior Customer Value Content 3 4 5 6 7 8 10 11 Asian Paints Key Challenges Why SAP Was Selected Implementation Process and Best Practices Strong Governance and Project Management Business Process Transformation

Markrting Case Study

2642 words - 11 pages Nerolac is in Industrial market. This difference is highlighted by their websites as well. Nerolac gives us a more corporate look. Whereas Asian on the other hand is much more lively and fun filled where you can view the website in the colour you like. II. BRANDING STRATEGIES Comparison between Nerolac and Asian paints:- By definition, brand strategy is a long-term plan for the development of a successful brand in order to achieve specific

Compliance Of Ias 16 By Bangladeshi Cement Company

5732 words - 23 pages Management, Department of Business Administration, International Islamic University Chittagong, Bangladesh, E-mail:zahidsita@yahoo.com Huq and Bhuiyan between boards and shareholders, top management, regulators and auditors and other stakeholders. As for example, Asian Development Bank (ADB) describes corporate governance as “(i) a set of rules, that define the relationship between shareholders, managers, creditors, the government and