In a fresh escalation of the insolvency battle, Anil Agarwal-led Vedanta Group has moved the National Company Law Appellate Tribunal (NCLAT) to contest the approval granted to Adani Enterprises Ltd for the acquisition of Jaiprakash Associates Ltd (JAL) for Rs 14,535 crore. The appeal is scheduled to be heard today.
The challenge comes after the National Company Law Tribunal (NCLT), Allahabad bench, approved Adani Enterprises’ Rs. 14,535-crore bid on March 17 under the corporate insolvency process.
The tribunal’s nod followed the earlier decision of a Committee of Creditors (CoC)to back Gautam Adani’s proposal as the winning resolution plan, in November last year.
The resolution process for JAL saw strong competition among major corporate players. Adani Enterprises emerged as the frontrunner after securing around 89% of the Committee of Creditors’ (CoC) votes. It outbid rival contenders, including Vedanta and Dalmia Bharat.
JAL, in a regulatory filing, said the tribunal had orally pronounced its order approving the plan submitted by Adani Enterprises.
Vedanta has now approached the appellate tribunal seeking to overturn the NCLT order. The matter will be taken up by a two-member bench headed by Chairperson Justice Ashok Bhushan and Member (Technical) Barun Mitra.
Diverse asset base of JAL
Jaiprakash Associates has a wide-ranging portfolio across real estate, cement, hospitality, power, and engineering. Its key projects include the Jaypee Greens developments in Noida and Greater Noida, as well as the Jaypee International Sports City near the upcoming Jewar airport.
The company also owns commercial office assets in Delhi-NCR, operates hotels across multiple cities, and runs cement plants in Madhya Pradesh and Uttar Pradesh, supported by leased limestone mines.
It also has investments in subsidiaries, including Jaiprakash Power Ventures Ltd, Yamuna Expressway Tolling Ltd, Jaypee Infrastructure Development Ltd, and several other companies.
JAL was admitted to the Corporate Insolvency Resolution Process (CIRP) in June 2024 after defaulting on loans worth over Rs. 57,000 crores.
The NCLAT’s ruling will be crucial in determining whether Adani’s acquisition proceeds smoothly or faces fresh legal roadblocks.