Jio Platforms gets new CEO ahead of $4B IPO
What's the story
Jio Platforms has appointed Pankaj Pawar as its new Chief Executive Officer (CEO), replacing Kiran Thomas. The change comes as the company gears up for its initial public offering (IPO), which is expected to raise around $4 billion. The move is part of Jio's strategy to unlock value from its telecom and digital services businesses.
Leadership transition
Pawar brings nearly 3 decades of experience
Pawar, who is also the Managing Director of Reliance Jio Infocomm Ltd, has been with the Reliance Group since 2000.
He brings nearly three decades of experience in building and scaling large consumer and digital services businesses to his new role as CEO of Jio Platforms.
The change was officially noted in the company's draft IPO papers submitted to capital markets regulator SEBI in June.
Board changes
Thomas resigned in March
Thomas, a former Reliance Industries president, resigned as CEO on March 23.
He doesn't appear among Jio Platforms' key managerial personnel in the draft prospectus.
Mukesh Ambani will be on the board of Jio Platforms as Chairman and non-executive director. Akash Ambani will serve as managing director while Isha and Anant Ambani will be non-executive directors.
IPO details
Jio's IPO to become India's largest
Jio Platforms plans to raise about $4 billion through its IPO, which would value the company at around $137 billion.
The plan is to issue up to 270 million new shares, accounting for some 2.9% of its post-issue equity capital.
If successful, Jio's IPO would become India's largest ever, surpassing Hyundai Motor India's ₹27,870 crore offering in 2024.
Business diversification
Jio is world's 2nd-largest mobile operator
Jio Platforms's businesses span telecom, digital services, enterprise solutions, and new-age technology.
Its telecom unit Reliance Jio Infocomm is the world's second-largest mobile operator by subscribers in a single country after China Mobile.
The company has attracted some of the biggest technology and private equity investors globally. In 2020 alone, it raised over $20 billion from investors such as Meta, Google, KKR, Silver Lake, and General Atlantic, among others.