Ahmedabad-based conglomerate Adani Enterprises (AEL) has won unanimous creditor approval for its INR 135 bn (USD 1.53 bn) acquisition of bankrupt infrastructure group Jaiprakash Associates (JAL), Reuters reports. The vote by JAL lenders — mostly Indian banks — clears Adani’s proposal as the preferred offer over that of mining conglomerate Vedanta Group.

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Why Adani? Creditors opted for Adani’s plan because it offered larger up-front payments than a higher INR 170 bn (USD 1.93 bn) bid from Vedanta. Vedanta’s plan involved a five-year repayment schedule, while Adani committed to clearing dues within two years.

Debt profile: Jaiprakash Associates owes lenders nearly INR 550 bn (USD 6.2 bn). It kicked off bankruptcy procedures in June 2024, making it one of the country’s largest ongoing bankruptcy cases.

Other bidders: Competing proposals were also submitted by cement producer Dalmia Bharat, power developer Jindal Power, and EPC firm PNC Infratech, alongside a withdrawn offer from JAL’s promoter group.

Adani’s coal project faces delay-

MEANWHILE- Uttar Pradesh’s power regulator has delayed approving Adani Power’s long-term supply contract for 1.5 GW from its INR 170 bn (USD 2 bn) coal project, citing gaps in cost disclosures, Reuters reports.

MENA connection: Adia- and QIA-backed Adani Power secured a contract in May to supply power from the coal plant at INR 5.38 per unit.

Compliance gaps: The regulator noted that Uttar Pradesh Power Corporation should have filed updated fixed charges, operating expenses, and the impact of revised tax rates on coal under the power supply agreement before seeking approval. A review hearing is scheduled for December.

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