The Tata Power Company Limited (BSE:500400), Adani Enterprises Limited (BSE:512599) will go head-to-head for a third time in the hard-fought contest for South East U.P. Power Transmission Company Limited after lenders called for another round of bids since the previous two rounds were inconclusive, multiple people aware of the matter told ET. Tata Power had outbid Adani offering 100% recovery of loans of INR 37,000 million to the lenders in the previous round. Adani's bid was only marginally lower at the time.

Tata's bid was set aside because it was conditional. Tata and Adani had first submitted bids in August 2021 and then on October 30, 2021 . The final round of bids is now due at the end of January 2022.

Tata has requested lenders to consider a Swiss challenge on grounds that it was the highest bidder in the previous round and should get a chance to match the best bid. However, that request has been turned down. Both companies have informed lenders that they will bid again.

Although Vedanta group company Sterlite Technologies Limited (BSE:532374), Power Grid Corporation of India Limited (BSE:532898) and REC PDCL were among other companies that also participated in the previous bidding round, they are likely to stay away this time, according to sources. Tata Power declined to comment. Adani and South East UP Power Transmission company's resolution professional, Shailesh Verma did not respond to queries.