JAL insolvency: CCI clears Dalmia Bharat’s bid to acquire Jaiprakash Associates; other bidders include Adani, Vedanta, Jindal Power

The Competition Commission of India (CCI) has authorized Dalmia Bharat’s proposal to absolutely acquire the debt-laden Jaiprakash Associates Ltd (JAL), clearing a key hurdle within the latter’s ongoing insolvency course of.The inexperienced gentle from the antitrust regulator permits Dalmia Cement (Bharat) Ltd, an entirely owned subsidiary of Dalmia Bharat Ltd, to submit its decision plan for JAL, PTI reported. The deal qualifies as a “combination” beneath the Competition Act, and a Supreme Court mandate requires CCI’s clearance earlier than any such plan may be voted on by the Committee of Creditors (CoC).“The proposed combination envisages 100 per cent acquisition of Jaiprakash Associates Ltd by Dalmia Cement (Bharat) Ltd pursuant to a corporate insolvency resolution process under the Insolvency and Bankruptcy Code,” the CCI stated in an announcement.Jaiprakash Associates, a diversified conglomerate with pursuits in cement, actual property, hospitality, and EPC (engineering, procurement, and building), is going through claims of Rs 57,185 crore from collectors. It was admitted into insolvency by the Allahabad bench of the National Company Law Tribunal on June 3, 2024.Other main bidders, together with Adani Enterprises, Vedanta Group, Jindal Power, and PNC Infratech, have additionally filed comparable mixture notices with CCI to take part within the insolvency bidding.The National Asset Reconstruction Company Ltd (NARCL) leads the creditor claims, having taken over JAL’s loans from a consortium led by the State Bank of India.JAL’s actual property property include landmark developments akin to Jaypee Greens in Greater Noida, Wishtown in Noida, and the Jaypee International Sports City close to the upcoming Jewar International Airport. It additionally owns industrial areas in Delhi-NCR and operates 5 accommodations in Delhi-NCR, Mussoorie, and Agra.In the cement sector, JAL has 4 non-operational vegetation in Madhya Pradesh and Uttar Pradesh, together with leased limestone mines. It additionally holds stakes in group firms together with Jaiprakash Power Ventures, Yamuna Expressway Tolling, and Jaypee Infrastructure Development.The bigger Jaypee Group has already seen one key asset, Jaypee Infratech, acquired by Mumbai-based Suraksha Group by means of a separate insolvency course of. Suraksha is tasked with delivering almost 20,000 stalled housing models throughout Noida and Greater Noida.