Smiti Holding Releases Multiple Pledges on Asian Paints Shares Across Entities

Asian Paints Limited witnessed significant developments in its shareholding structure as Smiti Holding and Trading Company Private Limited released pledges across multiple tranches with various financial entities. The comprehensive pledge releases were disclosed under Regulation 31 of SEBI (Substantial Acquisition of Shares and Takeovers) Regulations 2011.

Multiple Pledge Release Transactions

The latest disclosure reveals that Smiti Holding executed several pledge releases with different financial institutions, demonstrating a systematic approach to reducing encumbered shareholding.

Transaction Details:	Shares Released	Entity
Julius Baer Release:	25,00,000 shares	Julius Baer Capital Advisor (India) Private Limited
Barclays Release:	35,00,000 shares	Barclays Investments and Loans (India) Private Limited
IDBI Trusteeship Release:	3,98,98,000 shares	IDBI Trusteeship Services Limited
Additional Julius Baer:	5,20,000 shares	Julius Baer Capital Advisor (India) Private Limited
Reporting Date:	December 19, 2025	Multiple Entities

Updated Promoter Group Holdings

Following these multiple pledge releases, the promoter group's shareholding structure shows reduced encumbrance levels across the board.

Shareholding Category:	Share Count	Percentage
Total Promoter Group Holding:	50,47,85,198 shares	52.63%
Total Encumbered Shares:	4,34,22,727 shares	4.53%
Smiti Holding Total Shares:	5,17,67,638 shares	5.40%
Smiti Holding Encumbered:	3,77,45,000 shares	3.94%

Individual Promoter Holdings

The disclosure also provides a comprehensive breakdown of individual promoter and promoter group entity holdings, showing the diverse ownership structure within the promoter group.

Key Individual Holdings:	Share Count	Percentage
Abhay Vakil:	3,88,99,000 shares	4.06%
Dipika Amar Vakil:	2,27,61,340 shares	2.37%
Satyen Ashwin Ganghi:	37,25,984 shares	0.39%
Jiten Ashwin Ganghi:	37,06,265 shares	0.39%

Regulatory Compliance and Documentation

The comprehensive disclosure was filed by Smiti Holding and Trading Company Private Limited through its Managing Director Vita Jalaj Dani on December 19, 2025. The company maintains its registered address at Barodawala Mansion, Worli, Mumbai, with correspondence address at Jolly Makers Chambers, Nariman Point, Mumbai.

Market Implications

These systematic pledge releases across multiple financial entities indicate improved financial flexibility for the promoter group. The reduction in encumbered shareholding from multiple sources suggests a coordinated effort to strengthen the promoter's position while maintaining substantial stake in the paint manufacturer. The diversified approach to pledge releases with different financial institutions demonstrates prudent financial management.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+1.07%	+2.54%	-4.13%	+17.39%	+25.52%	+1.86%

Asian Paints shares have staged a remarkable recovery, surging over 15% from their recent 52-week lows. This rebound comes as investors perceive a potential easing in competitive pressures within the paints sector. However, not all analysts share this optimistic view, with some warning that intense competition persists.

Institutional Interest and Analyst Upgrades

The paint major has caught the attention of prominent fund houses, with SBI Mutual Funds and ICICI Prudential Mutual Fund increasing their stakes in June. This institutional interest has been complemented by positive analyst sentiment from some quarters.

After years of bearish ratings, brokerages including ICICI Securities and Jefferies have upgraded their outlook on Asian Paints. This shift in perspective has contributed to the stock's recent rally.

CLSA Maintains Cautious Stance

Despite the positive momentum, not all analysts are convinced. CLSA, a prominent global brokerage, maintains an 'underperform' rating on Asian Paints with a price target of ₹1,927.00. The brokerage cites continued high competitive intensity and underperformance against peers across key metrics as reasons for its cautious outlook.

CLSA expects new entrants in the paints sector, particularly Birla Opus and JSW Paints, to maintain an aggressive stance in dealer sales. This competitive pressure is anticipated to be especially pronounced during the upcoming festive period.

Valuation and Analyst Consensus

Despite recent underperformance, Asian Paints continues to command a premium valuation. The stock currently trades at a price-to-earnings ratio of 68.00, which is in line with its long-term average. This valuation suggests that investors still have high expectations for the company's future performance.

The analyst community remains divided on Asian Paints' prospects:

Analyst Ratings	Count
Buy	10
Hold	10
Sell	18

This split opinion underscores the uncertainty surrounding the company's ability to maintain its market position in the face of increasing competition.

Stock Performance

Asian Paints shares closed at ₹2,504.00, down 1.60% in the most recent trading session. However, the stock has shown resilience, posting a 9.00% gain year-to-date. This performance suggests that despite concerns about competition, investors still see value in Asian Paints' strong brand and market presence.

As the paints sector continues to evolve with new entrants and changing competitive dynamics, all eyes will be on Asian Paints to see how it navigates these challenges and maintains its position as a market leader.