The potential acquisition targets include Hyderabad-based Penna Cement, Gujarat-headquartered Saurashtra Cement, and the cement business of Jaiprakash Associates. This move comes as lenders initiated insolvency and bankruptcy proceedings (IBC) against Jaiprakash Associates Ltd (JAL) in early June.
The annual capacity of Jaypee cement is more than 90 lakh tonnes, according to Moneycontrol, citing sources.
According to sources, as the proceedings against Jayaprakash begin, Adani Group has to acquire assets such as limestone mines and a power plant attached to the company's cement assets.
The formal process of selling assets of Jayaprakash Associates has not yet begun. Dalmia India signed a deal with Jaypee in 2022 to purchase its cement and power assets at an enterprise value of Rs 5,666 crore. However, since Jaypee Associates could not get approval from Lenders, the deal had not been completed.
The Jaypee Group, a conglomerate with interests in real estate, infrastructure, and cement, has faced significant financial challenges. As of now, they owe ₹30,000 crore to 32 creditors, including ICICI Bank. Recently, they were admitted to the National Company Law Tribunal (NCLT) after a six-year delay. The resolution plan by Suraksha Asset Reconstruction Limited (Suraksha ARC) aims to complete over 20,000 pending housing units in the national capital region, but potential litigation may further delay home buyers' dreams of owning their homes.
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