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Jio's ₹11 lakh crore IPO: Mukesh Ambani's telecom giant set to make stock market history
The Jio IPO is expected to open for public subscription on October 21 and close on October 23, with the shares likely to list on October 28.
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Reliance Industries’ digital and telecom arm, Jio Platforms, is preparing for what could become India’s biggest initial public offering (IPO), marking a major milestone for the country’s equity markets and potentially reshaping how investors value the telecom sector.
The company was earlier expected to seek a valuation of around ₹11 lakh crore ($114 billion), according to a LiveMint report published last week. However, the latest reported plans point to a lower valuation of up to ₹10.3 lakh crore ($106 billion), with the offering still poised to set a record for the largest IPO in India.
According to Reuters, Jio Platforms is targeting a share price of ₹1,065 to ₹1,119 and could raise approximately ₹30,200 crore at the upper end of the price band. The offering would surpass Hyundai Motor India’s ₹27,859-crore IPO in 2024.
Jio IPO: Key dates and valuation
The proposed IPO is expected to open for public subscription on October 21 and close on October 23, with the shares likely to list on October 28, according to a LiveMint report citing people familiar with the matter. The anchor investor book is expected to open on October 19.
The reported valuation is lower than earlier expectations, reflecting a correction in Indian equity markets and changing investor appetite for large offerings. Reuters reported that Jio’s targeted valuation had fallen from the $131 billion expected when the company filed its draft IPO papers in June.
Reliance Industries has not issued a statement on the change reported by Reuters.
What makes the Jio IPO significant?
Jio Platforms operates Reliance Industries’ telecom and digital businesses, spanning mobile connectivity, fixed broadband, cloud services, entertainment, enterprise technology and artificial intelligence offerings.
The company had 524.4 million telecom subscribers as of March, making it one of the largest telecom operators by customer base. Its scale and presence across digital services make the proposed listing a closely watched event for investors seeking exposure to India’s expanding digital economy.
A successful listing could place Jio Platforms among India’s four largest listed companies by market capitalisation, behind its parent Reliance Industries, Bharti Airtel and HDFC Bank, Reuters reported.
The offering also comes amid sustained activity in India’s primary market. Reuters, citing LSEG data, reported that IPO proceeds in India had risen 8.3% year-on-year to $12.65 billion.
How could the IPO affect Reliance Industries?
The listing could unlock value for Reliance Industries by giving investors a direct way to invest in Jio Platforms, rather than gaining exposure to the business only through its parent company.
LiveMint reported that Motilal Oswal Financial Services viewed the proposed listing as a key potential trigger for value unlocking at Reliance Industries. The brokerage also flagged the listing as an important factor for valuations across the telecom sector.
Jio’s valuation could influence how investors assess competing telecom companies, particularly Bharti Airtel and Vodafone Idea. The broader sector’s valuation outlook will also depend on subscriber monetisation, tariff increases and the ability of operators to sustain revenue growth.
The IPO could therefore have implications beyond Reliance Industries, with investors watching how the market prices Jio relative to listed telecom peers.
Where will Jio IPO proceeds go?
According to Reuters, Jio Platforms plans to use up to ₹27,500 crore of the net proceeds to repay or prepay borrowings of its telecom subsidiary, Reliance Jio Infocomm.
The proposed debt repayment is a key element of the offering, as it could help reduce the subsidiary’s borrowing burden. The IPO is structured around a fresh issue of shares, rather than an offer for sale by existing shareholders, according to the details reported by LiveMint.
Jio Platforms reported revenue from operations of ₹1.47 lakh crore for the financial year ended March, up 14.6% from the previous year. Its profit increased 15.1% to ₹30,050 crore, Reuters reported.
