In a move that could reshape the Indian stock market, billionaire Mukesh Ambani is reportedly preparing to launch an initial public offering (IPO) for Reliance Jio, the telecom arm of Reliance Industries Ltd (RIL). This IPO is projected to raise between ₹35,000 and ₹40,000 crore, potentially making it the largest IPO in India’s history.
Major Valuation and Expected Timeline
The anticipated IPO is expected to value Reliance Jio at around $120 billion (approximately ₹10 lakh crore). According to reports from The Hindu Business Line, the IPO is slated for the second half of 2025 and will involve both existing shares and new shares, along with a pre-IPO placement for select investors.
Discussions regarding the pre-IPO placement have already commenced, although the final breakdown of existing versus new shares remains undecided. As of now, there has been no official confirmation from RIL regarding the IPO details, and the authenticity of these reports has not been independently verified.
A Landmark Offering
If realized, this IPO would surpass Hyundai India’s recent ₹27,870 crore offering in October 2024, solidifying Reliance Jio’s position as a leader in the Indian telecom market. The potential influx of capital from this IPO could serve as a significant boost for RIL shares, which faced a loss in 2024 for the first time in a decade.
Market Impact and Subscriber Dynamics
Analysts believe that this IPO could trigger renewed interest in RIL shares. The company ended 2024 with a decline of approximately 6% year-on-year. Following recent tariff hikes in July 2024, Reliance Jio experienced a loss of about 16.5 million subscribers from July to October. Despite this, Jio maintains a market-leading position with a 40% subscriber share.
Investment firm Jefferies previously indicated that Reliance Jio’s listing could occur at a valuation of $112 billion, emphasizing the company’s focus on monetization and subscriber growth through strategic tariff adjustments.
Conclusion
The upcoming IPO of Reliance Jio represents a pivotal moment for both the company and the Indian stock market. With its ambitious valuation and significant capital-raising potential, this IPO is set to attract considerable attention from investors. As discussions progress and more details emerge, all eyes will be on Mukesh Ambani and his plans for one of India’s most anticipated public offerings.
Disclaimer: The information provided is based on preliminary reports and may be subject to change as new developments occur regarding Reliance Jio’s IPO.
