Ambani’s $3.2 billion Jio Indian IPO lures investors as bids surge on final day

NEW DELHI, Oct 23 (Reuters) - Mukesh Ambani’s first IPO in two decades, Jio Platforms, attracted substantial interest on its final bidding day as subscriptions surged. The $3.2 billion offering, India’s largest ever, is seen as a litmus test for investor appetite amidst scrutiny of AI-linked stocks. The company, which serves over 500 million users, saw public subscriptions exceed six times the shares available, fueled by strong demand from institutional and retail investors, employees, and shareholders.

Assuming bids were close to the top of the 1,119-rupee price band, total demand surpassed $14.5 billion. This demand includes contributions from anchor investors like the Abu Dhabi Investment Authority, BlackRock, and Fidelity, who secured their reserved quota worth $854 million and received bids exceeding $25 billion. Valued at up to $108.3 billion, Jio Platforms could become one of India’s biggest companies by market capitalization when trading begins on October 28.

Leading the IPO is Ambani’s eldest son, Akash Ambani, who is part of Reliance Industries, a company known for its long-term wealth generation potential. Reliance shares have delivered around 900% returns since 2006, outpacing the Nifty index’s 685% return.