The Adani Group, a prominent Indian business conglomerate, is reportedly exploring the possibility of acquiring Jaiprakash Associates Ltd (JAL) through a structured insolvency process. This comes after JAL, the flagship enterprise of the Jaypee Group, was placed into corporate insolvency resolution by the National Company Law Tribunal (NCLT) on June 3, 2024, under the Insolvency and Bankruptcy Code, 2016.
Adani Group’s Interest in Jaiprakash Associates
Sources indicate that the Adani Group has taken a significant step by submitting an Expression of Interest (EOI) aimed at acquiring the financially distressed JAL. This move aligns with the NCLT’s recent directive to invite resolution plans for JAL as a whole, rather than separating its diverse business units.
- JAL is engaged in multiple sectors, including cement, power, hotels, construction, and real estate.
- The NCLT emphasized the importance of viewing JAL as a going concern during the resolution process.
Financial Context of Jaiprakash Associates
As of February 20, 2025, JAL’s total outstanding liabilities amount to a staggering ₹55,493.43 crore from various banks and financial institutions. Recently, a consortium of lenders transferred their dues to the National Asset Reconstruction Company Ltd (NARCL), further complicating JAL’s financial landscape.
The consortium includes major players such as:
- SBI
- ICICI Bank
- IDBI Bank
- Axis Bank
- LIC
- Canara Bank
- Bank of Maharashtra
- IFCI
- PNB
- UCO Bank
- South Indian Bank
- Punjab & Sind Bank
- Jammu & Kashmir Bank
- SIDBI
- Standard Chartered Bank
- Karur Vysya Bank
- EXIM Bank
- Bank of India
- Indian Overseas Bank
- Indian Bank
- IndusInd Bank
- Bank of Baroda
- Union Bank of India
- Central Bank of India
- SREI Equipment Finance Ltd
The exact amount of debt transferred has not been disclosed, but it marks a pivotal moment in JAL’s restructuring efforts.
Leadership in the Resolution Process
Bhuvan Madan has been appointed as the resolution professional (RP) for JAL, tasked with overseeing the insolvency resolution process.
In related news, the Jaypee Group has already witnessed the acquisition of another subsidiary, Jaypee Infratech, by Suraksha Group through a similar insolvency procedure.
Future Prospects for Adani Group
In addition to pursuing JAL, the Adani Group is also reportedly engaged in discussions to acquire Emaar India, a subsidiary of the Dubai-based Emaar Properties. This move could signify a strategic expansion for the Adani Group in the real estate sector.
The developments surrounding JAL and the Adani Group reflect the ongoing challenges and transformations within India’s corporate landscape, particularly in the face of financial distress and recovery initiatives. As the situation unfolds, industry stakeholders will be keenly watching how these negotiations and resolutions progress.
