Key Takeaways
- Jio Platforms, a subsidiary of Reliance Industries, targets a valuation of $106 billion in its upcoming IPO.
- The listing would be the largest in India, surpassing previous records set by Hyundai Motor India.
- The IPO is expected to raise about $3.1 billion, with a price band of 1,065 to 1,119 rupees per share.
Indian billionaire Mukesh Ambani’s Jio Platforms is aiming for a valuation of $106 billion in its upcoming Initial Public Offering (IPO), according to sources. This would make it the largest listing in India, surpassing the previous record set by Hyundai Motor India in 2024.
The IPO is expected to raise approximately $3.1 billion, with shares priced between 1,065 and 1,119 rupees each. The valuation is significantly lower than the $131 billion expected in June when the draft papers for the offering were filed.
Jio Platforms, which includes major foreign investors such as Meta and Google, is set to price its shares at 1,065 to 1,119 rupees apiece, the sources told Reuters. The IPO would raise about 302 billion rupees at the upper end of the price band, surpassing Hyundai Motor India’s $2.9 billion issue in 2024.
The listing follows the high-profile IPO of the National Stock Exchange of India in September, indicating strong investor appetite for large offerings in the Indian market. Year-to-date IPO proceeds in India have risen 8.3% to $12.65 billion compared with the same period last year, according to LSEG data.
Reliance Jio, led by Mukesh Ambani’s son Akash Ambani, operates Reliance’s telecom and digital businesses, including mobile services, fixed broadband, cloud, entertainment, enterprise technology, and AI offerings. The company plans to use up to 275 billion rupees of the net proceeds to repay or prepay borrowings of its telecom subsidiary, Reliance Jio Infocomm.
The company’s telecom arm had 524.4 million customers as of March. Revenue from operations rose 14.6% to 1.47 trillion rupees in the fiscal year ended March, while profit increased 15.1% to 300.5 billion rupees.
Analysts suggest that the lower IPO pricing is likely due to a broader correction in the secondary market, driven by an Iran war-related spike in crude oil prices. India’s benchmark stock index Nifty 50 has dropped around 6% in nearly four months since then.
A successful listing would place Jio Platforms among the top four Indian listed companies by market capitalisation, behind parent Reliance Industries, rival Bharti Airtel, and the country’s largest private lender HDFC Bank.
