Key Points:
- Adani JAL acquisition: Adani Enterprises leads the bid for Jaiprakash Associates Ltd with a faster two-year repayment plan, surpassing Vedanta’s offer.
- CoC decision soon: Lenders favor Adani’s proposal, with voting on the resolution plan expected within two weeks.
- Revival push: The deal could revive JAL’s stalled projects and expand Adani’s footprint in infrastructure and real estate.
Adani Enterprises Ltd is likely to secure the Adani JAL acquisition through the insolvency process, according to sources familiar with the matter. The company’s proposal to make payments to lenders within two years reportedly outperformed Vedanta Group’s five-year repayment plan.
The Committee of Creditors (CoC) met last week to review the final resolution plans from five bidders and is expected to vote on the preferred offer in the next two weeks. Adani Enterprises scored the highest on the evaluation matrix, followed by Dalmia Cement (Bharat) Ltd and Vedanta Ltd.
Adani’s bid outpaces Vedanta
Earlier in September, Vedanta Group had emerged as the top bidder in an auction with a net present value (NPV) offer of ₹12,505 crore. However, subsequent negotiations and revised offers altered the standings. Adani’s updated proposal, offering quicker payments, was found more favorable by the lenders, strengthening the Adani JAL acquisition prospects.
Dalmia Cement, Jindal Power Ltd, and PNC Infratech Ltd also participated in the bidding process but were ranked lower after the CoC’s assessment. Dalmia’s bid included conditions linked to an ongoing Supreme Court case between JAL and the Yamuna Expressway Industrial Development Authority (YEIDA), which may have influenced its lower evaluation.
Meanwhile, JAL’s former promoters submitted a settlement proposal under Section 12A of the Insolvency and Bankruptcy Code. However, the lenders found the offer lacking a clear funding source, and it was not considered viable. Past attempts by the promoters to halt the insolvency process through legal means were dismissed by the courts.
CoC may vote within weeks
Sources said the CoC’s upcoming vote will determine the future ownership and revival strategy for JAL, which has been undergoing insolvency proceedings since June 2024. Adani’s proposal emphasizes an accelerated repayment structure, which could help lenders recover dues faster and restore operations at several stalled projects.
If approved, the Adani JAL acquisition would mark another key addition to Adani Group’s growing portfolio across infrastructure and construction sectors.
The CoC’s evaluation considered multiple factors, including payment timelines, feasibility, and overall treatment of stakeholders. Industry experts note that quick resolution and fund infusion are critical to reviving JAL’s cement and infrastructure businesses, which have remained inactive for years.
JAL faces ₹60,000 crore debt
Jaiprakash Associates Ltd was admitted into insolvency by the National Company Law Tribunal (NCLT), Allahabad Bench, after defaulting on loan repayments. The company owes around ₹60,000 crore to financial creditors, with the National Asset Reconstruction Company Ltd (NARCL) emerging as the largest claimant after acquiring stressed loans from a consortium led by the State Bank of India.
In April, 25 companies had initially expressed interest in acquiring JAL, but only five submitted final bids by June. During the September challenge process, Vedanta briefly held the lead before Adani revised its offer.
JAL’s assets include major real estate projects such as Jaypee Greens in Greater Noida, Jaypee Wishtown in Noida, and Jaypee International Sports City near the upcoming Jewar International Airport. The company also owns hotels in Delhi-NCR, Mussoorie, and Agra, along with four non-operational cement plants in Madhya Pradesh and Uttar Pradesh.
JAL’s financial distress has affected several national infrastructure projects, including the Pakal Dul Dam in Jammu & Kashmir and the Srisailam Canal project in Andhra Pradesh. A successful Adani JAL acquisition could revive operations across these stalled ventures and provide relief to over a thousand homebuyers awaiting possession in JAL projects.
With the CoC expected to finalize voting soon, the outcome will determine whether Adani Enterprises officially takes charge of JAL’s turnaround, marking one of the year’s most significant insolvency resolutions in India’s infrastructure sector.
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