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News Topical, Digital Desk : Reliance Jio Platforms may be preparing for an Initial Public Offering (IPO) in India this year. Reuters reported, citing sources, that Reliance Jio is considering selling about 2.5 percent stake in the company through the IPO. According to the report, Jio is considering an IPO prospectus with Morgan Stanley and Kotak. This move could make it the country's largest IPO ever, valued at over $4 billion. Jio is considering an IPO prospectus with Morgan Stanley and Kotak.
Jio is the parent company of Reliance Jio, India's largest telecom operator with over 500 million users. In November, investment bank Jefferies estimated Reliance Jio's valuation at approximately $180 billion.
Potential to raise approximately $4.5 billion If a 2.5% stake is sold at this valuation, the company could raise approximately $4.5 billion, which would be larger than Hyundai Motor India's $3.3 billion IPO last year. Some bankers believe Jio's valuation could be in the range of $200 to $240 billion, although Reliance has not yet decided on a final valuation. According to reports, Jio has rapidly expanded its business over the past six years and has also entered new areas such as artificial intelligence. During this time, the company has raised funding from major global investors such as KKR, General Atlantic, Silver Lake, and Abu Dhabi Investment Authority. Sources say that considering its large size, the company is looking to list only a 2.5% stake . However, the Indian market regulator's proposal to reduce the minimum public shareholding for large IPOs from 5% to 2.5% is currently awaiting approval from the Finance Ministry.
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