Post by : Badri Ariffin

The Indian telecommunications sector is on the brink of a significant event as Reliance Industries' wireless division, Jio Platforms Ltd., is projected to be valued at as much as $170 billion ahead of its anticipated initial public offering (IPO). If achieved, this valuation would rank Jio among India's top three firms by market capitalization, eclipsing Bharti Airtel Ltd., currently valued around $143 billion.

Negotiations with investment bankers are underway, with potential valuations spanning from $130 billion to $170 billion. Mukesh Ambani, the wealthiest person in Asia, has suggested that Jio's IPO might be launched in the first half of 2026—an eagerly awaited milestone. The company has attracted global interest, having received over $10 billion in investment from Meta Platforms Inc. and Alphabet Inc. since 2020.

Initially, Jio aimed to raise upwards of $6 billion, which would surpass Hyundai Motor India Ltd.’s anticipated $3.3 billion IPO in 2024. However, recent adjustments in Indian listing laws may affect these figures. According to the new regulations, firms with post-listing valuations over ₹5 lakh crore must issue shares worth at least ₹15,000 crore while only diluting 2.5% of equity. This would potentially yield about $4.3 billion for Jio if it meets the higher valuation.

Currently, Jio claims approximately 506 million subscribers, with an average revenue per user reported at ₹211.4 for the quarter ending September. For comparison, Bharti Airtel has a slightly smaller subscriber base of 450 million, but enjoys a higher average revenue per user at ₹256.

Though official IPO specifics are still under discussion, analysts predict that Jio's market debut could redefine Indian corporate listings, changing the valuation dynamics within the telecom industry and providing investors with an opportunity to engage in one of the nation’s fastest-growing digital ecosystems.

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