Reliance Jio is officially setting the stage for India’s largest initial public offering (IPO) in history, with a size projected between Rs 30,200 crore and Rs 37,700 crore. Significantly, all proceeds from the offering represent new capital flowing directly into Jio and not to existing shareholders selling out. According to the red herring prospectus, proceeds will go toward prepaying borrowings of Reliance Jio Infocomm, the telecom subsidiary, and general corporate purposes.
Moreover, the Jio Platforms IPO is set to be much larger than LIC and Paytm. Upon its market debut, Jio is projected to sit comfortably among India’s top four most valuable listed companies, sitting alongside corporate giants like HDFC Bank.
The anticipated Jio Platforms IPO would bring investor attention to the scale of its subscriber base, earnings growth, and ability to convert rising data consumption into higher-value digital services revenue.
Akash Ambani Meets 50 Global Investors
Ahead of the IPO, the Jio team has held extensive investor meetings worldwide. Akash Ambani, Managing Director of Jio Platforms, has met 50 global investors one-on-one.
Investors in the institutional segment have shown strong interest in the company. Global investors such as Meta, Google, and Saudi Arabia’s PIF already put money into Jio back in 2020.
Jio Platforms IPO to open on October 21
Jio Platforms, the telecoms and digital services arm of Reliance Industries, will open its initial public offering on October 21, according to its red herring prospectus, and is India’s largest mobile carrier by subscribers. The Jio Platforms initial public offering (IPO) is the first such issuance from Mukesh Ambani-led Reliance Industries.
The offer is a fresh issue of up to 27 crore shares with a face value of Rs 10 each, with no offer-for-sale component. That equates to about 3 per cent of the company’s existing share capital.
The price band of Rs 1,065 to Rs 1,119 per share could raise about Rs 30,213 crore at the top of the range, making it India’s largest.
IPO closes on Friday, October 23. Anchor investor bidding is on Monday, October 19. Reliance Industries owns 66.43 per cent of Jio Platforms. Reliance Jio Infocomm served 533.3 million customers at the June end, including 284.9 million on 5G.
ALSO READ:
Jio Platforms IPO pricing is ‘attractive’, investors can make strong returns: Uday Kotak