+
Adani to get LOI for Dharavi project on confirming financial capacity
Real Estate

Adani to get LOI for Dharavi project on confirming financial capacity

According to Maharashtra Deputy Chief Minister Devendra Fadnavis, the Adani group, which won the tender for Dharavi redevelopment, will receive the Letter of Intent (LoI) only after demonstrating financial capability to carry out the project.

He was responding to Congress MLA Varsha Gaikwad's concerns about the project in the aftermath of Hindenburg Research's allegations of stock manipulation against the Adani group. Gaikwad also inquired whether a new tender for the project would be issued. Fadnavis claimed that the tendering process was open and transparent.

A global tender was held, and three parties responded. He stated that the bids of the two parties were proper, and that the contract was awarded to the highest bidder among them. "So it is incorrect to say that the process was flawed. The LoI has not been issued yet. This is because it is issued only after all the departments take that decision. "There is one decision (yet to be made) from the Urban Development department after which the LoI will be awarded," Fadnavis said.

The Adani group was the highest bidder for the 259-hectare Dharavi Redevelopment Project in November 2021.

DLF's offer of Rs 20.25 crore was outbid by the group's bid of Rs 5,069 crore.

The tender states that the money will be paid in advance, and the winning firm will provide a bank guarantee, according to Fadnavis.

"Before issuing the LOI, they (the company which has won the tender) have to show whether they are financially capable, they have to show whether the bank is ready to give them money, and deposit a certain amount in a dedicated account," the deputy CM said. "If they comply with everything, they can execute the project....If they do not, they will not get the LoI," he added. Dharavi, known as Asia's biggest slum cluster, is located in central Mumbai. It is also a hub of small-scale, unorganised industries that manufacture leather items, footwear and clothes among other things.

See also:
Adani Properties awarded the Dharavi redevelopment project
Three bidders vying for Mumbai’s Dharavi slum redevelopment


According to Maharashtra Deputy Chief Minister Devendra Fadnavis, the Adani group, which won the tender for Dharavi redevelopment, will receive the Letter of Intent (LoI) only after demonstrating financial capability to carry out the project. He was responding to Congress MLA Varsha Gaikwad's concerns about the project in the aftermath of Hindenburg Research's allegations of stock manipulation against the Adani group. Gaikwad also inquired whether a new tender for the project would be issued. Fadnavis claimed that the tendering process was open and transparent. A global tender was held, and three parties responded. He stated that the bids of the two parties were proper, and that the contract was awarded to the highest bidder among them. So it is incorrect to say that the process was flawed. The LoI has not been issued yet. This is because it is issued only after all the departments take that decision. There is one decision (yet to be made) from the Urban Development department after which the LoI will be awarded, Fadnavis said. The Adani group was the highest bidder for the 259-hectare Dharavi Redevelopment Project in November 2021. DLF's offer of Rs 20.25 crore was outbid by the group's bid of Rs 5,069 crore. The tender states that the money will be paid in advance, and the winning firm will provide a bank guarantee, according to Fadnavis. Before issuing the LOI, they (the company which has won the tender) have to show whether they are financially capable, they have to show whether the bank is ready to give them money, and deposit a certain amount in a dedicated account, the deputy CM said. If they comply with everything, they can execute the project....If they do not, they will not get the LoI, he added. Dharavi, known as Asia's biggest slum cluster, is located in central Mumbai. It is also a hub of small-scale, unorganised industries that manufacture leather items, footwear and clothes among other things. See also: Adani Properties awarded the Dharavi redevelopment projectThree bidders vying for Mumbai’s Dharavi slum redevelopment

Related Stories

Gold Stories

Next Story
Infrastructure Transport

MMRDA Targets Completion of Projects by December 2028

The Mumbai Metropolitan Region Development Authority (MMRDA) is targeting the completion of all its ongoing infrastructure projects by December 2028, a year ahead of its December 2029 deadline, Metropolitan Commissioner Dr Sanjay Mukherjee has said.Speaking at the sixth edition of the Real Estate & Infrastructure Investors' Summit (REIIS) 2026 in Mumbai, Mukherjee said the authority was developing an integrated network of roads, tunnels, sea links and Metro corridors under its broader vision of “Mumbai in 59 Minutes”.The objective is to improve east-west and north-south connectivity an..

Next Story
Building Material

High-Performance Façades Gain Ground in Indian Buildings

High-performance façades are gaining greater importance in Indian architecture as developers and architects increasingly focus on energy efficiency, thermal comfort and building performance, according to Shankar Fenestrations & Glasses.The company said modern façade systems are increasingly being considered as part of a building's overall performance strategy rather than being used primarily as aesthetic elements.High-performance glass, curtain wall systems and structural glazing can contribute to thermal regulation, solar control, daylight management and indoor comfort. Their growing ad..

Next Story
Technology

SPML Infra's 104.4 kWh BESS Battery Pack Clears Global Tests

SPML Infra has announced that its proprietary 104.4 kWh Battery Energy Storage System (BESS) battery pack has completed key international safety, performance and transportation testing and certification requirements, marking a step towards its commercial deployment.Developed under the company's own intellectual property, the battery pack has completed requirements under UL9540A, IEC 62619, IEC 63056, IEC 60730, IEC 61000-6-2, IEC 61000-6-4 and UN38.3 standards.The testing covers areas including thermal runaway safety, battery performance, system functional safety, electromagnetic compatibility..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code