Source Mint
NEW DELHI — In a significant victory for the Adani Group, the National Company Law Appellate Tribunal (NCLAT) on Tuesday refused to halt the implementation of Adani Enterprises Ltd.’s ₹14,543 crore resolution plan for the debt-ridden Jaiprakash Associates Ltd (JAL).
While the appellate tribunal declined to grant an interim stay on the acquisition, it has sought formal responses from the Committee of Creditors (CoC) regarding the ongoing legal challenges.
The Ruling: Full Steam Ahead for Adani
The bench, led by Chairperson Justice Ashok Bhushan, clarified that while the resolution process and the proposed delisting of JAL can proceed, the finality of these actions will be subject to the ultimate outcome of the appeals filed by rival bidders and dissenting creditors.
No Immediate Pause: The court rejected the plea for an interim stay, allowing Adani to begin the takeover of JAL’s vast portfolio, which includes cement plants, real estate, and hospitality assets.
Next Hearing: The matter has been scheduled for a detailed hearing on April 10, 2026.
Lenders’ Input: The NCLAT has directed the lenders to file their responses within one week to address allegations regarding the bidding process.
Why Adani Won the Lenders’ Favor
The legal battle was sparked primarily by Vedanta Ltd, led by Anil Agarwal, which challenged the March 17 order of the NCLT (National Company Law Tribunal). Vedanta argued that its bid offered a higher Net Present Value (NPV) and accused the process of being a “commercial conspiracy.”
However, the lenders—led by the National Asset Reconstruction Co. Ltd (NARCL)—defended their choice based on the following factors:
Feature Adani Enterprises Plan Vedanta Ltd Proposal
Upfront Cash ~₹6,000 crore ~₹6,563 crore (in late revised bid)
Payment Timeline Within 2 years Up to 5 years
Creditor Support 93.8% approval Rejected/Lower support
Core Strength Higher execution certainty Longer-term risk profile
“The commercial wisdom of the CoC is paramount. Plans are evaluated on feasibility, upfront liquidity, and execution capability—not just the headline number,” the NCLT had noted in its original approval.
High Stakes for the Infrastructure Sector
Jaiprakash Associates entered insolvency in June 2024 with admitted claims totaling over ₹60,000 crore. The Adani plan, which includes an additional ₹800 crore for capital expenditure, represents a recovery of approximately 24% for the financial creditors.
For the Adani Group, this acquisition provides:
Land Banks: Nearly 3,985 acres in the Noida and Greater Noida regions.
Cement Capacity: An additional 6.5 million tonnes across Uttar Pradesh and Madhya Pradesh.
Energy Stake: A 24% stake in Jaiprakash Power Ventures Ltd.
