Jio Platforms Ltd, the digital services arm of Reliance Industries, has filed draft papers for an initial public offering (IPO) that could become India's largest-ever public issue, with the company expected to raise around USD 4 billion (approximately Rs 37,700 crore).
According to the draft red herring prospectus (DRHP) filed on Friday, the company plans to issue up to 27 crore fresh shares, representing about 2.9 per cent of its post-issue equity capital.
The proposed IPO is expected to value Jio Platforms at around USD 137 billion, underlining the scale of one of India's most prominent digital businesses.
The company said the proceeds from the issue would primarily be used for the repayment or prepayment of certain outstanding borrowings of its material subsidiary, Reliance Jio Infocomm Ltd (RJIL), and for general corporate purposes.
Sources indicated that around Rs 27,500 crore from the IPO proceeds is likely to be utilised towards reducing debt obligations, while the remaining funds would support broader corporate requirements.
The public offer marks a significant milestone for the Reliance group. It will be the conglomerate's first IPO since 2008 and the first listing of a consumer-focused business within the group.
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Jio Platforms has emerged as one of India's most valuable technology and digital services companies and has attracted substantial investments from leading global technology firms and financial investors.
In 2020, Meta invested Rs 43,574 crore for a 9.99 per cent stake in the company, while Google invested Rs 33,737 crore for a 7.73 per cent holding.
The company also raised approximately Rs 74,745 crore from a group of international investors, including Silver Lake, Vista Equity Partners, General Atlantic, KKR, Mubadala, Abu Dhabi Investment Authority (ADIA), TPG, L Catterton, the Public Investment Fund (PIF), Intel Capital and Qualcomm Ventures.
At present, Reliance Industries holds a 66.43 per cent stake in Jio Platforms, while Meta remains the second-largest shareholder with a 9.99 per cent holding acquired through its USD 5.7 billion investment in 2020.
The proposed listing is expected to attract significant investor interest, given Jio's dominant position in India's telecommunications and digital services sectors. Market participants will closely watch the offering, which could set a new benchmark for public issues in the country.
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