NextFin news, On Saturday, September 27, 2025, the Supreme Court of India reinstated the resolution plan submitted by JSW Steel for Bhushan Power & Steel Ltd (BPSL), allowing JSW Steel to proceed with its acquisition of BPSL under the insolvency resolution process. This decision reverses a previous order that had stalled the resolution plan.
The Supreme Court’s ruling came after a detailed review of the insolvency proceedings and the objections raised by other stakeholders. The court found that JSW Steel’s plan complied with the legal framework established under the Insolvency and Bankruptcy Code (IBC) and that the National Company Law Tribunal (NCLT) had rightly approved the plan initially.
Bhushan Power & Steel, a major steel manufacturing company in India, had been undergoing insolvency resolution since 2019. JSW Steel, one of India’s leading steel producers, had submitted a resolution plan to acquire BPSL, which was approved by the NCLT but later challenged in higher courts.
The Supreme Court’s decision restores the status quo, enabling JSW Steel to move forward with the acquisition, which is expected to strengthen its position in the steel industry and help revive Bhushan Power & Steel’s operations. The court emphasized the importance of adhering to the insolvency resolution process to ensure timely resolution of stressed assets.
The ruling was welcomed by JSW Steel and industry experts, who noted that it would bring clarity and stability to the insolvency resolution framework. The decision also underscores the judiciary’s support for the IBC as a tool for resolving corporate insolvencies efficiently.
The Supreme Court’s reinstatement of JSW Steel’s plan marks a significant development in the ongoing efforts to resolve Bhushan Power & Steel’s financial distress and reflects the judiciary’s commitment to upholding the integrity of the insolvency resolution process in India.
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