Jio Platforms Sets Stage For India’s Largest IPO At ₹10.3 Lakh Cr Valuation

Telecom titan Jio Platforms has unveiled a price range of ₹1,065-₹1,119 per share for its impending IPO, scheduled to commence public subscription the following week. The firm aims to raise ₹30,213 Cr at the top of the price spectrum, eclipsing Hyundai Motor's ₹27,870 Cr IPO of 2024 to claim the title of India's largest public offering to date.

The telecom arm of RIL is targeting a valuation of ₹10.3 Lakh Cr for the IPO. Earlier this day, Jio submitted its red herring prospectus (RHP) for the forthcoming IPO, which encompasses a potential issuance of up to 27 Cr equity shares.

Following the anchor bidding on October 19 (Monday), the IPO will become accessible for public subscription on October 21 and conclude on October 23. The telco has earmarked ₹500 Cr worth shares for eligible employees, who can benefit from a discount of ₹54 per share. Furthermore, up to ₹2,500 Cr will be reserved for eligible shareholders of RIL.

The company plans to deploy ₹27,500 Cr of the capital raised through the IPO to either fully or partially repay certain outstanding borrowings taken by its material subsidiary, Reliance Jio Infocomm (RJIL). The residual funds, amounting to ₹2,713 Cr, will be allocated towards general corporate purposes, potentially financing strategic undertakings, growth prospects, capital expenditure, working capital, marketing endeavors, or other business necessities.

The IPO will not include an OFS (Offshore Funds Sale) component, implying existing shareholders will not sell shares via the IPO. Presently, RIL owns a 66.43% stake in Jio Platforms, while Meta and Google possess 9.98% and 7.73%, respectively.