The Adani Group has recently expressed its interest in acquiring Jaiprakash Associates Limited (JAL). The company is currently undergoing an insolvency procedure. The National Company Law Tribunal has made it mandatory that the acquisition will be made for the entire firm and not just partial assets of it. JAL currently has debts of INR 55,493.43 crore. The company has seen its loans transferred to the National Asset Reconstruction Company. Some of the bidders include Adani, GMR, and Vedanta.
By acquiring Jaiprakash Associates Limited, the Adani Group plans to increase its hold over the infrastructure business. It also plans on putting an end to the Adani SEC controversies.
Adani’s Plans To Acquire Jaiprakash Associates Through Corporate Insolvency Resolution:
The Adani Group, a highly prosperous Indian business conglomerate, has recently displayed its interest in the acquisition of Jaiprakash Associates Limited (JAL). It aims to acquire the company through an insolvency process. Jaypee Group’s flagship firm, JAL, has its presence across multiple business sectors including power, cement, hotels, construction, and real estate business. The company was admitted into the corporate insolvency resolution process under the Insolvency and Bankruptcy Code 2016. This was through an order dated 3rd June 2024 which was passed by the National Company Law Tribunal.
As per sources, the Adani Group has already submitted an Expression of Interest (EOI) to acquire the company. Recently, the National Company Law Tribunal mentioned that the resolution process should be for the entire company and not by dividing its different business verticals. The total outstanding loans from different financial institutions and banks stood at INR 55,493.43 crore as of 20th February 2025. The company has also recently informed that a consortium of lenders has already transferred the outstanding loan to the National Asset Reconstruction Company Limited. The consortium includes reliable banks like both national and private banks like ICICI Bank, IDBI Bank, SBI, Axis Bank, LIC, etc.
Jaypee Group’s other company, Jaypee Infratech, has already been acquired by the Mumbai-based Suraksha Group through the insolvency process. Meanwhile, the Adani Group is also currently in talks to acquire the real estate firm in India which happens to be a part of the Dubai-based Emaar Properties.
With these new acquisitions in place, the Adani Group will find it easier to extend its presence in the infrastructure sector where it already holds numerous assets. The global business group will also find it easier to further increase its revenue generation from its business. The allegations of Adani SEC investigation will also be put to a halt.
The Various Proceedings Of The Corporate Insolvency Resolution Process:
Jaiprakash Associates was admitted to the bankruptcy code in 2024. This was following an insolvency petition which was filed by the ICICI Bank. Since then, the company has attracted the attention of corporate houses from all across the country. This has been mainly because of the company’s substantial assets in the various areas in which it operates. In January 2025, the National Asset Reconstruction Company turned out to be the sole bidder to take over the stressed loan of JAL for INR 12,000 crore. This was a breakthrough for the lenders out there. However, the insolvency process has continued and the deadline for submitting the EoIs was extended in order to allow more bidders to participate in the bidding process.
The creditors have already claimed INR 57,000 crores which was owed to them by the company. As per the EoI documents, JAL’s engineering and construction business has projects in irrigation, roads, tunnels, and hydropower. The company currently has 17 ongoing projects in the real estate business. It has projects spread over hundreds of acres. This includes residential, commercial, and industrial properties as well as multiple hotels. The company also has four cement and limestone units in Madhya Pradesh.
Conclusion:
In this way, by acquiring the assets of Jaiprakash Associates Limited, the Adani Group aims to further enhance its presence across various growth sectors. The group wants to enhance its revenue generation. It also aims to recover from the losses it suffered during the Adani SEC Investigation and rise to the position of being one of the most reliable conglomerates on a global scale.
