CCI Approves Dalmia Bharat's Bid to Acquire Jaiprakash Associates: A Major Milestone in JAL's Insolvency Process
The Competition Commission of India (CCI) has cleared Dalmia Bharat's proposal to fully acquire the debt-laden Jaiprakash Associates Ltd (JAL). This approval is a significant step in JAL's ongoing insolvency process, paving the way for Dalmia Cement (Bharat) Ltd to submit its resolution plan.
CciDalmia BharatJaiprakash AssociatesInsolvencyReal EstateReal EstateAug 05, 2025
The deal qualifies as a “combination” under the Competition Act, and a Supreme Court mandate requires CCI’s clearance before any such plan can 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 said in a statement.
Jaiprakash Associates, a diversified conglomerate with interests in cement, real estate, hospitality, and EPC (engineering, procurement, and construction), is facing claims of Rs 57,185 crore from creditors. It was admitted into insolvency by the Allahabad bench of the National Company Law Tribunal on June 3, 2024. Other major bidders, including Adani Enterprises, Vedanta Group, Jindal Power, and PNC Infratech, have also filed similar combination notices with CCI to participate in 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 real estate assets include landmark developments such as Jaypee Greens in Greater Noida, Wishtown in Noida, and the Jaypee International Sports City near the upcoming Jewar International Airport. It also owns commercial spaces in Delhi-NCR and operates five hotels in Delhi-NCR, Mussoorie, and Agra.
In the cement sector, JAL has four non-operational plants in Madhya Pradesh and Uttar Pradesh, along with leased limestone mines. It also holds stakes in group companies including Jaiprakash Power Ventures, Yamuna Expressway Tolling, and Jaypee Infrastructure Development. The larger Jaypee Group has already seen one key asset, Jaypee Infratech, acquired by Mumbai-based Suraksha Group through a separate insolvency process. Suraksha is tasked with delivering nearly 20,000 stalled housing units across Noida and Greater Noida.
Frequently Asked Questions
What is the significance of CCI's approval for Dalmia Bharat's bid to acquire Jaiprakash Associates?
CCI's approval is crucial because it clears a key regulatory hurdle, allowing Dalmia Bharat to submit its resolution plan for Jaiprakash Associates. This approval is mandatory under the Competition Act and the Supreme Court mandate.
What are the key assets of Jaiprakash Associates?
Jaiprakash Associates has significant real estate assets, including Jaypee Greens in Greater Noida, Wishtown in Noida, and the Jaypee International Sports City. It also owns commercial spaces in Delhi-NCR and operates hotels in key locations. In the cement sector, it has non-operational plants and leased limestone mines.
Who are the other major bidders for Jaiprakash Associates?
Other major bidders for Jaiprakash Associates include Adani Enterprises, Vedanta Group, Jindal Power, and PNC Infratech. These companies have also filed combination notices with CCI to participate in the insolvency bidding process.
What is the role of the National Asset Reconstruction Company Ltd (NARCL) in this process?
NARCL leads the creditor claims against Jaiprakash Associates, having taken over JAL’s loans from a consortium led by the State Bank of India. It plays a significant role in the insolvency process by representing the interests of the creditors.
What is the status of the Jaypee Infratech acquisition?
Jaypee Infratech, a key asset of the larger Jaypee Group, has already been acquired by the Suraksha Group through a separate insolvency process. Suraksha is responsible for delivering nearly 20,000 stalled housing units across Noida and Greater Noida.
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