JAL bidders to join challenge auction with ₹12,000 crore floor value

Lenders of Jaiprakash Associates have set Rs 12,000 crore as the minimum bid for a challenge auction on Friday, with five firms including Adani and Dalmia in contention

The lenders of Jaiprakash Associates Limited (JAL) have asked all resolution applicants to take part in a challenge auction for the distressed company on Friday with the minimum bid amount being set at ₹12,000 crore, according to people in the know.

 

This will be calculated in terms of net present value (NPV).

 

The challenge auction will take place via email where after every round of bids, the lenders will ask the participating companies to raise their offer by at least ₹250 crore.

 

The committee of creditors (CoC) has also sought a commitment from resolution applicants to pay an