India Court Rejects JSW Steel’s Plan to Acquire Bhushan Power

India’s top court Friday rejected JSW Steel Ltd.’s plan to buy a debt-burdened rival, more than four years after the steelmaker announced the acquisition.

The Supreme Court said JSW’s plan to acquire Bhushan Power & Steel through a debt resolution process didn’t conform to the country’s bankruptcy laws and ordered that the target company now be liquidated. JSW bought the company in March 2021, after its proposal had been approved by Bhushan’s committee of creditors and the bankruptcy court.

The court’s ruling is a telling blow to tycoon Sajjan Jindal’s company, which now counts Bhushan Power as its ...