JP Associates share price gained nearly 5% after a media report suggested that the Adani Group had emerged as the only bidder without conditions in the race to acquire the company.
- Prestige Group to build 1.5 km ‘private’ flyover in Bengaluru to address traffic woes: Check route and other details
- Travel Food Services IPO opens for subscription; GMP stays mild. Should you subscribe?
- Bank Holidays 2025: Are banks open or closed today, June 7?
- OPEC+ opens oil tap wider before planned August hike, raising fears of price fall
- Gold Prices Soar as Trump Announces New US Tariffs: What It Means for India
While Business Standard last week reported that Adani group emerged as the front-runner to acquire JP Associates, an Economic Times report earlier today stated that the Gautam Adani-led conglomerate is the only bidder without conditions in the race to acquire JP Associates, submitting a ₹12,600 crore offer under the ongoing insolvency process.
The other four bidders, namely Dalmia Bharat, Vedanta, Jindal Power and PNC Infratech, have tied their bids to the resolution of a critical land dispute involving the Gautam Buddh Nagar Sports City project, currently pending before the Supreme Court.
Jaiprakash Associates has attracted five bids, with Dalmia Bharat leading with a ₹14,600 crore offer, inclusive of the disputed land parcel. However, if the land issue remains unresolved, Dalmia’s effective bid value would drop to ₹12,600 crore, matching Adani’s unconditional offer, sources close to the matter said.
Analysts believe that acquisition by a well-managed and financially strong Adani group bodes well for the company and its subsidiaries.
That it makes sense for the Adani Group to acquire JP Associates, as it would be complementary to the Adani Group because JP Associates has the cement and power businesses.
In April, as many as 25 companies showed interest to acquire JP Associates.
JP Associates, which has business interests spanning real estate, cement manufacturing, hospitality, and engineering & construction, was admitted into the Corporate Insolvency Resolution Process (CIRP) through the National Company Law Tribunal, Allahabad Bench, order dated June 3, 2024.
The company was taken to insolvency proceedings after the conglomerate defaulted on the payment of loans. Creditors are claiming a staggering ₹57,185 crore.
JP Associates share price opened at ₹3.15, higher than their last closing price of ₹3.07 and soon rose to the day’s high of ₹3.22, up 4.89%. The trading volumes on the stock were 79.01 lakh shares, higher than the two-week average of 44.54 shares.
“The CoC has asked all bidders to revise and improve their financial offers,” said one of the people aware of the discussions.
Jaiprakash Associates is undergoing resolution under the Insolvency and Bankruptcy Code, with total admitted claims of ₹57,185 crore.
Disclaimer:
Goldsilverreports.com provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.