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Supreme Court Clears ₹14,543 Crore Adani Power Acquisition
The court rejected a stay on the Coastal Energen deal but mandated NCLAT oversight as Vedanta continues to challenge the valuation and bidding transparency.
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The Supreme Court of India has declined to issue a stay on Adani Power’s ₹14,543 crore acquisition plan for Coastal Energen, formerly known as JAL. While the court permitted the implementation of the resolution plan to proceed, it has mandated that the National Company Law Appellate Tribunal (NCLAT) provide ongoing oversight of the process.
The court’s ruling comes as rival bidder Vedanta continues to contest the acquisition. Vedanta has raised significant objections regarding the valuation methodology and the overall transparency of the bidding process. In response to these lingering concerns, the Supreme Court has ordered an expedited hearing to resolve the points of contention.
By allowing the transaction to move forward while simultaneously ordering the NCLAT to monitor the developments, the court has balanced the need for corporate resolution with the requirement for legal due process. The ongoing dispute highlights the complexities surrounding bankruptcy proceedings and asset valuations in the power sector. The NCLAT is expected to prioritize the hearing as it evaluates the merits of the challenges brought forth by Vedanta against the approved bid.