Jio's ₹52,000cr IPO in 2026 could become India's largest-ever listing
What's the story
Reliance Industries Limited (RIL), led by billionaire Mukesh Ambani, is said to be planning an initial public offering (IPO) for its telecom unit, Jio Infocomm. The company aims to raise up to ₹52,200 crore ($6 billion) by offloading just 5% of its telecom arm, setting the stage for what could become the biggest IPO in Dalal Street's history. RIL has initiated informal talks with the Securities and Exchange Board of India (SEBI) to get approval for this major step.
Market impact
Proposed IPO to dwarf Hyundai India's massive public issue
The proposed IPO is nearly twice the size of Hyundai India's massive public issue. If successful, it would dwarf Hyundai India's ₹28,000 crore IPO by a wide margin. However, regulatory norms require a 25% public float and Reliance has told SEBI that the market may not be able to absorb a larger listing at this time.
Investment exit
IPO would provide exit option for global investors
The IPO would also provide an exit option for marquee global investors such as Meta Platforms and Alphabet Inc.'s Google. These tech giants had invested over $20 billion in Reliance's digital venture in 2020. Jio Platforms, that houses Reliance's digital and telecom assets, was valued at $58 billion at the time.
AGM anticipation
Market awaits updates on Jio listing at RIL AGM
The market is now eagerly awaiting Relaince's annual general meeting (AGM), which is expected to take place in August. Citi said in a recent report, "At the AGM, we expect the market's focus to be on any updates with regards to Jio's listing." This comes amid a reported delay in timelines and possibly favorable changes to listing norms being considered by the regulator.