Punj Lloyd Limited is an Indian Engineering, Procurement, and Construction (**EPC**) conglomerate currently undergoing **Liquidation as a going concern** pursuant to a National Company Law Tribunal (**NCLT**) order dated **May 27, 2022**. Historically a global player in energy and infrastructure, the company is presently in a state of transition following its acquisition by **Adani Infra (India) Limited (AIIL)** in **March 2026**. --- ### **Corporate Reorganization & Ownership Transition** Following a prolonged insolvency process under the **Insolvency and Bankruptcy Code (IBC)**, the company has seen a total change in management and ownership to facilitate value maximization. * **Acquisition Details:** On **March 10, 2026**, **Adani Infra (India) Limited (AIIL)** acquired the company as a going concern for a total consideration of **INR 281.10 crores**. * **Equity Restructuring:** * **Adani Infra** and its nominees now hold **95%** of the total paid-up share capital. * The remaining **5%** public shareholding is represented by the **Dincum Growth Fund Mauritius**. * Existing share capital prior to the acquisition was cancelled for **NIL consideration**. * **Listing Status:** Despite the liquidation proceedings, the company remains listed on the **BSE** and **NSE**, though trading was suspended effective **October 7, 2022**. * **Management:** The previous suspended board was discharged in **March 2026** and replaced by directors nominated by the **Adani Group**. --- ### **Core EPC Verticals & Operational Pivot** The company’s primary business model is structured around integrated design, engineering, and project management across several specialized sectors: * **Pipelines and Tankage:** A core competency involving the construction of large-scale terminals and cross-country pipelines. The company has built over **300 tanks** globally and utilizes **Horizontal Directional Drilling (HDD)** for trenchless installations. * **Power & Nuclear:** Execution of thermal and transmission projects for **NTPC** and **PGCIL**. Notably, the company has been a key contractor for **NPCIL**, completing **KAPP-3 (700 MW)** in **FY2020**, **KAPP-4** and **RAPP-7** in **FY2023**, and completing erection for **RAPP-8** in **FY2025**. * **Infrastructure:** Development of highways (e.g., **AH-48** completed **Nov 2024**), mass rapid transport, and waterworks (e.g., **Nerla Package-01** completed **May 2023**). * **Manufacturing & Job Work:** Since **2024**, the company has pivoted to manufacturing hydro power spare parts (casings, valves, stator frames) for global clients such as **Global Hydro Energy** and **Andritz Hydro**. * **Niche Consumer Electronics:** The company maintains a unique segment targeting the **"digital detox"** trend. It produces a basic, **non-internet** mobile phone (Voice/SMS only) marketed as a **lifestyle accessory** for high-income young female professionals. --- ### **Strategic Divestment & Asset Realization** Under the NCLT-approved plan, the company is aggressively streamlining its balance sheet by divesting non-core assets and subsidiaries: | Asset / Subsidiary | Transaction Type | Acquirer / Status | | :--- | :--- | :--- | | **Defence Unit** | Business Transfer | **Adani Defence Systems & Tech (ADSTL)** | | **Air Works India (Engineering)** | Share Sale | **ADSTL** (In Progress) | | **Spectra Punj Lloyd** | 100% Share Sale | **Diversified India Growth Fund** | | **Punj Lloyd Industries** | 100% Share Sale | **Diversified India Growth Fund** | | **Atna Investments** | 99.99% Share Sale | **Diversified India Growth Fund** | | **Banmore Central Workshop** | E-Auction | Sold **March 2024** | | **Gurgaon Corporate Office** | SARFAESI Sale | Operations moved to **Noida** in **FY2024** | --- ### **Financial Position & Capital Erosion** The company’s financial health is characterized by extreme distress and a negative net worth. * **Debt Profile:** As of the last comprehensive filings, total borrowings stood at **INR 9,905.04 crore**. The company defaulted on long-term dues amounting to **INR 2,734.47 crore**. * **Liquidity Crisis:** **100%** of term debts (**INR 2,564.49 crore**) were classified as current liabilities. Interest accrued and due surged to **INR 1,615.01 crore**. * **Capital Erosion:** Total equity was recorded at **negative INR 12,713.28 crore**, leading to a gearing ratio of **(342.72%)**. * **Provisioning:** Massive provisions have been made for doubtful recoveries, including **INR 2,726.70 crore** in unbilled revenue and **INR 807.06 crore** in trade receivables. --- ### **Critical Risks & Legal Contingencies** Investors must note the significant legal and regulatory hurdles facing the entity: * **Regulatory Stigma:** The company has been classified as a **"Fraud"** account by **IDBI Bank** and a **"Willful Defaulter"** by the **Central Bank of India**. It is under investigation by the **SFIO**, **Enforcement Directorate (ED)**, and the Income Tax Department. * **Bank Guarantee Encashment:** Clients have encashed Bank Guarantees (BGs) totaling **INR 1,928.55 crore** due to project delays and contractual non-compliance. * **Geopolitical & International Loss of Control:** * **Myanmar:** Assets and equipment are inaccessible due to the **2021 military coup**. * **Libya:** Portfolio valued at **INR 6,845 crore** is effectively abandoned due to political turmoil. * **Oman:** The branch is embroiled in a **forgery and fraud** case in the Oman Supreme Court regarding the unauthorized sale of company assets. * **Operational Wind-down:** The company is **not accepting new EPC orders**, focusing exclusively on completing existing material supplies by **September 2025**. The order book has depleted to **INR 225.42 crore** as of **March 2025**. * **Audit Qualifications:** Auditors have consistently issued **Qualified Opinions** due to the inability to verify **Net Realizable Value (NRV)** of inventories and non-reconciliation of statutory liabilities (GST, TDS, EPF).