Jindal Power drops out, Reliance and Adani in bidding race to acquire Lanco Amarkantak Power

Jindal Power recently quit the race to acquire distressed thermal power company Lanco Amarkantak, leaving Adani and Reliance in the bidding race.

Naveen Jindal-led Jindal Power has decided to drop out of the bidding race to acquire distressed thermal power company Lanco Amarkantak Power, leaving Adani Power and Reliance in the acquisition bid, reported Economic Times.

Jindal dropped out of the bidding war for Lanco Amarkantak Power.

Previously, Jindal Power bid more than Adani Power to acquire Lanco, but now has backed out of the bidding wars. Now, only three bidders are remaining in the acquisition race - Adani Power, Reliance Industries and Power Finance Corporation-led consortium.

ET reported that Jindal Power applied with Amravati National Company Law Tribunal (NCLT) to withdraw its petition on Tuesday, despite outbidding Adani Power in the previous session.

"Probably they (Jindal) were not comfortable giving unconditional and upfront offers and thus they pulled out of the race," a source quoted by ET said.

Now, Adani Power remains the highest bidder in the Lanco Amarkantak Power acquisition race, with both Reliance Industries and Power Finance trailing closely. It must be noted that before backing out, Jindal Power gave ₹4,203 crore cash offer along with a ₹100-crore bank guarantee during the bidding wars.