Jio raises ₹8,110cr from anchor investors ahead of IPO
What's the story
Jio Platforms, the parent company of Reliance Jio Infocomm, has raised ₹8,109.84 crore from 212 anchor investors. The amount was raised ahead of its initial public offering (IPO) which is set to open for public subscription on October 21 and close on October 23. The price band for the offer has been fixed at ₹1,065-1,119 per share.
IPO details
India's largest IPO
The upcoming IPO is India's largest, with a total size of ₹30,187.6 crore. It consists of a fresh issue of 27 crore equity shares, accounting for 2.9% of the company's post-issue equity capital.
The company has reserved shares worth ₹500 crore for its employees and ₹2,500 crore for eligible shareholders of its parent company, Reliance Industries.
Global interest
Participation from global sovereign wealth funds
Jio Platforms has drawn interest from some of the world's biggest sovereign wealth funds such as Singapore's GIC, Norway's Norges Bank Investment Management, Abu Dhabi Investment Authority (ADIA), Qatar Investment Authority (QIA), PSP Investments, California State Teachers Retirement System and Florida Retirement System.
India's top 10 mutual fund houses have also shown interest in the offering including SBI Mutual Fund, ICICI Prudential Mutual Fund and HDFC Mutual Fund, among others.
Domestic interest
Strong domestic institutional participation
The domestic institutional participation for Jio Platforms' IPO is equally strong.
The company has allocated 2.48 crore equity shares worth ₹2,784.96 crore to 25 domestic mutual funds through their 95 schemes.
India's largest insurers and pension funds such as Life Insurance Corporation of India (LIC), HDFC Life, SBI Life and SBI Pension (NPS Trust), among others, have also participated in the offering picking up a total of 97.4 lakh shares worth ₹1,089.95 crore.
Global participation
Global tech specialists have also participated in the offering
Global tech specialists like Dragoneer Investment Group, Janus Henderson and Ninety One have participated in the anchor book of Jio Platforms' IPO.
Leading Indian family offices such as Enam Family Office, Premji Invest, Zerodha Family Office and HCL Family Office have also shown interest in the offering.
The company will use ₹27,500 crore of net IPO proceeds to repay a part of debt availed by its material subsidiary Reliance Jio Infocomm.