Jio Platforms has set the terms for an initial public offering that could become the largest in India's history. The Reliance Industries-controlled company plans to sell 270 million new shares at ₹1,065 to ₹1,119 each, according to Reuters. The offer is scheduled to open Oct. 21 and close Oct. 23, following anchor-investor bidding on Oct. 19.
At the top of the range, Jio would raise ₹302.13 billion, or about $3.2 billion. That would surpass Hyundai Motor India's ₹278.7 billion offering in 2024, the current record holder. The top-end price would value Jio at as much as $108.3 billion and could make it India's fourth-most valuable listed company.
New shares, not a shareholder exit
This offering is a fresh issue, meaning Jio is creating and selling new shares rather than existing investors unloading stock. The Indian Express reports that ₹275 billion of the proceeds is earmarked for repaying debt at Reliance Jio Infocomm, the group's telecom subsidiary. The remainder can go toward general corporate purposes, including capital expenditure.
That structure means the proceeds go to the company. It also reduces existing shareholders' percentage stakes. Reliance Industries currently owns 66.43% of Jio Platforms, while Meta holds 9.98% and Google owns 7.73%, according to The Indian Express. Both technology companies invested during Jio's large private fundraising in 2020.
The final amount raised will depend on investor demand and the offer price. Calling the deal India's biggest IPO is therefore conditional until the offering is completed, though its maximum size is above Hyundai's record.
A vast network meets public-market scrutiny
Jio's scale helps explain the size of the offering. Reuters reports that Reliance Jio Infocomm has 533 million subscribers and carries about 60% of India's data traffic. Jio Platforms also spans cloud computing, entertainment and artificial intelligence services, giving prospective investors exposure to more than the mobile network alone.
Debt reduction is the stated priority for most of the proceeds as Jio continues investing in network and digital infrastructure. The updated prospectus also flags regulatory uncertainty. Reuters says Jio warned that India's data-protection and telecom rules could constrain data-driven monetization, an important consideration for a business trying to generate more advertising and digital-services revenue from its user base.
The IPO would put a public-market value on a company that raised more than $20.5 billion from 13 global investors in 2020. Those private investments valued Jio between $57 billion and $65 billion at the time. The new price range points to a substantially higher valuation, while investor demand will determine the final offer price and proceeds.
