Jaiprakash insolvency nears final vote, CoC to review bids

CoC to evaluate how five bidders, including Vedanta and Adani, will finance the acquisition

- Abhishek Law [e-mail]

The Committee of Creditors (CoC) of Jaiprakash Associates Ltd (JAL) is set to review and seek details of how bidders, including Vedanta and Adani, intend to finance the acquisition of the debt-laden company. The resolution plans would be put to vote in November, two people aware of the development said.

This marks a key milestone in one of the longest-running corporate insolvency proceedings of the country.

The five bidders in the fray are billionaire Anil Agarwal’s Vedanta Ltd, billionaire Gautam Adani-led Adani Enterprises, billionaire Naveen Jindal-backed Jindal Power Ltd, Puneet Dalmia’s Dalmia Bharat and PNC Infratech Ltd.

“There are more processes to be followed and approvals to be taken before any acquisition is finalized,” said one of the two people, both of whom spoke on the condition of anonymity.

The lenders are expected to seek proof of funds or a letter of comfort from the winning bidder, once the final resolution plan is approved by the CoC, this person told Mint.