The much-anticipated Reliance Jio IPO is scheduled to open for public subscription on Wednesday, October 21, with the company setting a price band of Rs 1,065 to Rs 1,119 per share. Jio Platforms, the digital services arm of Reliance Industries, has filed its Red Herring Prospectus (RHP) with the Registrar of Companies, Gujarat, at Ahmedabad.
The public issue will close on Friday, October 23. Based on the announced price range, the company expects to raise between Rs 28,755 crore and Rs 30,213 crore. The offering could become India’s largest-ever IPO in rupee terms, surpassing Hyundai Motor India’s Rs 27,870 crore public issue launched in 2024.
Investors will be able to subscribe to the Jio Platforms IPO during the three-day window from October 21 to October 23. The shares are expected to be listed on the BSE and the National Stock Exchange (NSE), with the market debut scheduled for October 28.
The revised issue size is approximately 14 per cent lower than the nearly Rs 35,000 crore indicated in the earlier draft papers. Despite the reduction, the offering is set to surpass previous records for public issues in India, provided it is completed at the indicated size.
According to the prospectus, the minimum bid is for 12 equity shares, with applications permitted in multiples of 12 shares thereafter. Each share has a face value of Rs 10. Eligible employees participating in the employee reservation portion will receive a discount of Rs 54 per equity share.
The Jio Platforms IPO will consist entirely of a fresh issue of up to 27 crore equity shares. There is no offer-for-sale (OFS) component, meaning existing shareholders will not sell their shares as part of the public offering.
The distinction is important because the proceeds from a fresh issue go to the company, rather than to existing investors selling their holdings. Jio Platforms plans to use up to Rs 27,500 crore from the funds raised to repay certain borrowings of its material subsidiary, Reliance Jio Infocomm Ltd (RJIL).
Jio Platforms IPO GMP: What The Grey Market Indicates
The grey market premium (GMP) for the Jio Platforms IPO remained positive following the announcement of the issue dates and price band. According to Investorgain, the shares were trading at a premium of Rs 217 in the grey market as of 11 am, according to the grey market tracking website, Investorgain. With an upper price band of Rs 1119.00, the estimated listing price for Jio Platforms IPO is Rs 1336 (cap price + today’s GMP). This indicates an expected listing gain for Jio Platforms IPO of 19.39 per cent.
The GMP is an unofficial indicator of investor sentiment and is not a guaranteed measure of the listing price or potential returns. It can fluctuate before the issue closes and the shares begin trading on the stock exchanges.
Jio Platforms Shareholders
Reliance Industries currently holds a 66.43 per cent stake in Jio Platforms, making it the company’s largest shareholder. Several global investors also own stakes in the digital business. Meta Platforms holds 9.98 per cent through its affiliate, Jaadhu Holdings LLC, while Google International LLC owns 7.73 per cent.
Other investors include KKR & Co and Vista Equity Partners Management LLC, which each hold 2.31 per cent through their respective affiliate funds. Silver Lake owns 1.88 per cent, while Mubadala Investment Co holds 1.85 per cent. General Atlantic and Abu Dhabi Investment Authority have stakes of 1.34 per cent and 1.16 per cent, respectively.
The IPO will bring the digital services business into the public market, giving investors an opportunity to participate directly in Jio Platforms’ growth.
Jio Platforms has appointed a group of domestic and international financial institutions to manage the public issue. The book-running lead managers include Kotak Mahindra Capital Co., Morgan Stanley India Co., BofA Securities India Ltd, Axis Capital Ltd, BNP Paribas, Citigroup Global Markets India Pvt. Ltd and Goldman Sachs (India) Securities, among others.
The shares are proposed to be listed on both the BSE and NSE on October 28.
