Asian Paints Limited (APL) has issued a lengthy clarification to InGovern’s allegations of related-party transactions and the demand for removal of promoters Ashwin Dani and Malav Dani from the APL board.
This is in regard to several related party transactions between the company and Paladin Paints & Chemicals, a private company owned by the promoter Dani family
o Revenue down 12% underlying o Cash operating income² down 13% underlying; 11% margin o Adjusted³ operating profit down 19% underlying; 9% margin o Adjusted profit before tax down 20% underlying o Adjusted EPS up 12% · Interim dividend increased +1% to 7.6p · Statutory · Active portfolio management strategy delivering value creation: o Increased investment in Cazoo in October 2020; proposed transaction values stake at c.US$1.35bn
5 vs £117m total investment o Disposal of EdTech (Hobsons) for c.US$410m in March 2021 o Acquisition of New Scientist for £67m in March 2021 · Strong financial position maintained: pro forma net cash £293m
6 and £362m of committed undrawn bank facilities; statutory net cash £199m