The National Company Law Tribunal (NCLT), Allahabad, has approved Adani Enterprises’ decision to $Rs 15,000 crore resolution plan for bankrupt Jaiprakash Associates Ltd (JAL), rejecting Vedanta Ltd’s challenge.
“The resolution plan is approved as per the details of the order,” the NCLT bench said while pronouncing the verdict.
A detailed written order was not available as of press time.
After approval by the NCLT, the resolution plan becomes binding and control passes to Adani Enterprises, and payments to creditors begin as per the schedule set by the monitoring committee. The company then moves towards implementation and eventual emergence from insolvency.
Adani Enterprises informed the stock exchanges that the deal can be implemented by the company, its promoters or other entities of the Adani group, either directly or through a special purpose vehicle.
However, dissenting parties like Vedanta can challenge the order before the National Company Law Appellate Tribunal (NCLAT). If the appellate court admits the plea and grants a stay on the NCLT order, the implementation of the scheme could still face delays despite the approval.
The hearing comes after a challenge filed by Anil Agarwal. Vedanta Ltd, whose offer was rejected by lenders. Vedanta has claimed that the process was unfair and opaque, calling it a “commercial conspiracy.”
An approved resolution plan aims to close the case, but remains open to challenge on limited legal grounds, according to lawyers.
“Appeals under Section 61 of the Insolvency and Bankruptcy Code are generally limited to issues such as legal default, material irregularity in the process or ineligibility of the resolution applicant. Courts generally do not interfere with the business decisions of the committee of creditors,” said Madhav Chitale, partner at Chitale & Chitale Partners.
Chitale further noted that an appeal does not automatically stop the implementation of an approved resolution plan. Any stay must be specifically granted by the appeals court, which does so cautiously and only in limited cases. If no stay is granted, the plan may continue to be implemented even while the appeal is pending.
The plan formalizes Adani Enterprises’ acquisition of JAL and brings the protracted insolvency case closer to closure.
Adani’s resolution plan, unveiled in November, garnered about 93% of financial creditors’ votes, well above the 66% required by the Insolvency and Bankruptcy Code. The support was led by National Asset Reconstruction Co. Ltd (NARCL), which has a voting power of 85.43% after acquiring debt from banks. Asset Care and Reconstruction Enterprise, which represents Yes Bank’s exposure, voted against the plan.
Adani’s offer was favored for its payment structure, offering around $6,000 crore upfront and the rest in two years. In comparison, the Vedanta $Offer of Rs 12,505 crore, on a net present value basis, proposed payments over five years.
Against the total of admitted claims of $5.44 trillion, Adani’s plan offers a realizable value of $15,343 crore, implying a recovery of around 2.8% for creditors.
Adani will get access to JAL’s key assets, including nearly 3,985 acres in Noida and Greater Noida, 6.5 million tonne cement capacity in Uttar Pradesh and Madhya Pradesh and a 24% stake in Jaiprakash Power Ventures Ltd.
The acquisition will support the Adani Group’s cement expansion. JAL’s assets, including the Shahabad grinding unit and Chunar cement plant, along with limestone mines, will help increase capacity and secure raw materials.
arm of the Adani Group, Ambuja Cements plans to expand production from the current 109 million tonnes per annum to 155 million tonnes by FY28.
JAL also has great real estate assets, including Jaypee Greens in Greater Noida, Wishtown in Noida and Jaypee International Sports City near the upcoming Jewar Airport, as well as hotels in the National Capital Region, Mussoorie and Agra.
JAL was admitted to insolvency in June 2024 after defaulting on loans that exceeded $55,000 crores. Lenders led by the State Bank of India subsequently transferred around $12,700 crore debt owed to NARCL, making it the largest creditor.
The company’s problems stem from heavy borrowing for expansion, worsened by the 2008 global financial crisis and by delays in projects such as Wish Town, which sparked complaints from homebuyers.
Several Jaypee Group entities have already been declared insolvent. Jaypee Infratech Ltd was acquired by Suraksha Group in 2024, while Bhilai Jaypee Cement went into insolvency in 2025. Other entities are still undergoing restructuring.
