Jio Platforms Prepares for Initial Public Offering in Early 2026, Potentially India's Largest IPO

Jio Platforms, a division of Reliance Industries, is preparing for an IPO and stock market listing by mid-2026. Mukesh Ambani, the Chairman of RIL, announced this on Friday. The announcement has led to expectations that this could be India's largest IPO. Although Ambani did not specify the number of shares or the IPO size, market experts suggest a 10% share-sale might be considered.

Jio Platforms Ltd (JPL) encompasses Reliance Jio Infocomm, India's leading telecom operator with 500 million users. JPL has attracted significant global investors, including Google and Meta, highlighting its strategic partnerships and focus on tech innovation. "I am sure that it will be a very attractive opportunity for all investors," Ambani stated, promising ambitious future plans for Jio.

IPO Expectations and Market Context

Market analysts predict Jio's IPO could be India's largest. Currently, Hyundai Motor India's Rs 27,870 crore IPO in October 2024 holds the record. This surpassed LIC's Rs 21,000 crore offering in May 2022. Other notable IPOs include Paytm's Rs 18,300 crore in November 2021 and Coal India's Rs 15,199 crore in October 2010.

Ambani emphasized that the IPO would showcase Jio's ability to generate value comparable to global peers. JPL is currently owned 66.3% by Reliance Industries Ltd (RIL). Previously, JPL raised Rs 1,52,056 crore from 13 prominent investors for a 32.9% stake. Facebook (now Meta) holds a 10% stake in Jio Platforms, while Google owns another 7.7%, with PE investors holding the remaining 16%.

Jio's Growth and Achievements

Since entering India's telecom market in September 2016, Jio has experienced remarkable growth. Initially offering free data and voice services disrupted existing models like Bharti Airtel's. Within six months of launch, Jio gained over 100 million subscribers, demonstrating the demand for affordable broadband in India.

Ambani highlighted Jio's achievements during the AGM address on Friday. These included making voice calls free nationwide and fostering habits like video watching and mobile digital payments among Indians. "Our motto is AI everywhere for everyone," Ambani declared.

Future Plans and Expansion

Jio aims to connect every Indian through mobile and home broadband services. It plans to provide digital services like Jio Smart Home and JioTV+ to every Indian household. Additionally, Jio intends to digitise businesses with scalable platforms and lead India's AI revolution.

The company plans to expand globally, bringing its technology to international markets. "I am extremely confident that the path ahead for Jio is even brighter than its journey so far," Ambani said.

Financial Performance and Market Interest

This year has seen strong interest in primary markets from issuers and investors across sectors. So far, 50 companies have been listed on stock exchanges this year, with a dozen debuting in August alone. Companies like Tata Capital, Groww, BoAt, PhysicsWallah, Zepto, and OYO are among those entering primary markets.

Jeferries valued Jio's enterprise at USD 136-154 billion in April this year. They noted: "We raise our EV enterprise value for Jio to USD 136 billion as we roll-forward valuations to Mar-26." The financial performance of Jio continues to improve annually.

In FY25, Jio reported revenue of Rs 1,28,218 crore (USD 15 billion), marking a 17% year-on-year growth. EBITDA stood at Rs 64,170 crore (USD 7.5 billion). This performance underscores the significant value Jio has created and its potential for future growth.

With inputs from PTI