Tech & AI
Jio Platforms' record India IPO is fully subscribed within about 100 minutes of opening
Reliance's digital and telecom arm is raising ₹30,213 crore at a valuation of roughly $108 billion at the top of its price range.
HedgeWeekly Tech & AI Desk ·
Jio Platforms, which holds the telecom and digital businesses of Reliance Industries, opened its initial public offering on Wednesday and drew bids for the full issue within about 100 minutes, according to Indian and international reports. The offer runs until October 23 and seeks ₹30,213 crore through shares priced between ₹1,065 and ₹1,119 each.
At that size the deal would overtake Hyundai Motor India's ₹27,870 crore listing in 2024 as India's largest IPO. The top of the range values Jio Platforms at roughly $108 billion. Demand from large institutions was strongest: their portion of the book was covered within the first 10 minutes.
The issue consists entirely of new shares, up to 27 crore of them, so no existing shareholder is selling. Up to ₹27,500 crore of the net proceeds is earmarked to repay or prepay borrowings at Reliance Jio Infocomm, the group's mobile operator. Before the opening, Jio allotted about ₹8,110 crore of stock to 212 anchor investors, large investors who commit ahead of the public, at the top price of ₹1,119, after anchor bids exceeded ₹2.5 lakh crore.
Why it matters: The listing is a test of global appetite for large Indian tech and telecom assets, and it gives investors a separate market price for a business that until now was valued only inside Reliance Industries. Using most of the money to cut debt at the telecom arm could lower interest costs. Things to watch include the final subscription tally on October 23, how the shares trade on debut, and whether Reliance's own stock re-rates as the market prices its stake.