Jio Platforms, India's largest telecom operator, plans to sell 270 million shares priced between 1,065 and 1,119 rupees each from October 21 to October 23, aiming to raise up to 302 billion rupees ($3.2 billion). This IPO will be the largest in India in rupee terms, although it falls short of the Hyundai Motors IPO in dollar terms.
At the top price, Jio Platforms would be valued at approximately $108 billion, which is less than the anticipated valuation and lower than Bharti Airtel's market cap of $117.5 billion.
Analysts, including Deven Choksey from DRChoksey Finserv, suggest that while Jio is trying to position itself as a tech company, it remains fundamentally a telecom provider, primarily generating revenue from internet data sales.
Additionally, Jio Platforms is planning to launch satellite communications services, which could intensify competition with Elon Musk's Starlink, as both companies vie for market share in India.
Reliance Industries, which owns over 66% of Jio Platforms, along with Meta and Google, will retain their stakes during this IPO, indicating confidence in the company's long-term prospects despite current market skepticism