Ambani's Masterstroke: ₹7,703 Crore Asian Paints Exit Delivers 1,440% Returns

Mukesh Ambani's Reliance Industries has pulled off one of the most profitable exits in recent corporate history, selling 3.5 crore shares of Asian Paints for a staggering ₹7,703 crore through its subsidiary Siddhant Commercials . The transaction, executed at ₹2,201 per share, represents a jaw-dropping 1,440% return on Reliance's original investment of just ₹500 crore made back in January 2008 during the global financial crisis .

 

SBI Mutual Fund emerged as the sole buyer in this massive block deal, snapping up the entire 3.64% stake and boosting its holding in Asian Paints from 1.51% to 5.15% . This marks one of India's largest bilateral block deals, with the transaction being executed in the pre-market window .

 

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The timing of Reliance's exit is particularly strategic, coming as Asian Paints faces intense competitive pressure from new entrants like Aditya Birla Group's Birla Opus . The paint giant's market share has declined from 59% to 52% in FY25, while its stock has underperformed, falling 17% over the past three years .

 

Despite selling the bulk of its holding, Reliance retains 87 lakh shares in Asian Paints, representing about 1.26% of the company . The transaction showcases Ambani's impeccable market timing, as he originally invested during the 2008 crisis when Lehman Brothers collapsed, turning a crisis opportunity into a multi-billion rupee windfall .

 

Asian Paints shares responded positively to the news, closing 0.73% higher at ₹2,225 on the NSE despite the large-scale selling .

 

Sources: The Hindu Business Line, Economic Times, Outlook Business