Billionaire bidders must show the money in Jaypee insolvency face-off

Core Viewpoint - The Committee of Creditors (CoC) of Jaiprakash Associates Ltd (JAL) is reviewing financing details from bidders, including Vedanta and Adani, for the acquisition of the debt-laden company, with resolution plans to be voted on in November [1][5]. Group 1: Bidders and Acquisition Process - Five bidders are competing for Jaiprakash Associates, including Vedanta Ltd, Adani Enterprises, Jindal Power Ltd, Dalmia Bharat, and PNC Infratech Ltd [2]. - The CoC has requested signed, non-conditional resolution plans from the bidders, which will be evaluated over the next two to four weeks before a vote [5]. - Bidders must provide proof of funds or a letter of comfort to demonstrate their financial capability once a resolution plan is approved [3][4]. Group 2: Financial Situation and Assets - Jaiprakash Associates is estimated to owe ₹55,371.21 crore (approximately $6.7 billion) as of September 2025, with most debt transferred to the National Asset Reconstruction Company Ltd [10][11]. - The company has a diversified portfolio in infrastructure, cement, real estate, power, and hospitality, with significant projects in Noida and near the upcoming Jewar airport [11][12]. - The cement division operates with a combined capacity of about 8 million tonnes per annum, and the company holds a stake in Jaiprakash Power Ventures, which remains profitable [12]. Group 3: Challenges and Considerations - Several land parcels and real estate assets of Jaiprakash Associates are involved in litigation, which may complicate asset monetization and valuation [12][15]. - The CoC has approved fees for Grant Thornton Bharat LLP to determine the liquidation value for financial creditors, a necessary step before voting on any resolution plan [13]. - Previous attempts to sell the cement arm to Dalmia Bharat failed, and current resolution plans must consider the company as a single business unit [14].