Adani Group-backed Ambuja Cements submitted an offer of INR5.8bn (US$60,26m), to acquire bankrupt Jaypee Cement. The only competing bidder, My Home Group, exited the corporate insolvency resolution process after offering a lower bid of INR3bn.
Lenders are currently negotiating with the Adani Group to increase their valuation because the current offer sits below the company liquidation value of INR8.8bn. Financial institutions involved warn they will vote for liquidation if the bid is not raised above this threshold benchmark. Lenders initially held an auction with a base price of INR5.62bn reflecting the pre-auction proposal from Ambuja Cements, which the company subsequently increased to the current level….