Jio Platforms, the telecoms and digital business backed by Asia’s richest man, Mukesh Ambani, is set to begin trading in Mumbai on Wednesday after its $3.2 billion initial public offering attracted $77 billion in bids, making it the most-subscribed offering in India’s history.
The company, valued at up to $108.3 billion, serves more than 530 million customers and could become one of India’s largest listed companies by market capitalisation when trading begins. Its investors include Meta and Google’s parent company, Alphabet, placing the business at the intersection of India’s expanding digital market and global technology investment.
The listing marks a significant step in Ambani’s effort to transform Reliance Industries, Jio’s parent company, from an oil-and-chemicals conglomerate into what he has described as an “everything company”, spanning consumer services and technology.
The expected valuation and strong demand for the offering underline investor interest in Jio’s large customer base and digital operations. However, the company’s market debut will also test whether that enthusiasm can be sustained amid competition, substantial investment requirements and changes to India’s telecommunications regulations.
Akash Ambani, Mukesh Ambani’s eldest son and Jio’s managing director, is expected to attend the listing ceremony, according to an industry source with direct knowledge of the matter. Reliance Industries did not respond to a Reuters request for comment.
Before trading began, Jio shares were commanding a premium of about 22% in the grey market, an unregulated market where investors trade shares before their official listing. The premium indicated expectations of a strong opening, although it does not guarantee the price at which the shares will trade once they enter the formal market.
The scale of the offering comes as India experiences a particularly active year for initial public offerings. The country has recorded 246 listings so far this year, making it the world’s busiest IPO market by the number of deals, according to data from the London Stock Exchange Group.
India nevertheless ranked fourth in the amount of money raised through IPOs, with $13.5 billion, behind the United States, mainland China and Hong Kong. Jio’s $3.2 billion offering represents a major transaction within that market, attracting bids worth many times the amount of shares offered.
Several brokerages have described Jio’s valuation of up to $108.3 billion as attractive, with some identifying potential for further gains. Their assessments, however, have also highlighted risks that could affect the company’s performance after listing.
These include competition in the telecommunications sector, the heavy capital expenditure required to develop and maintain networks and digital services, and changes to India’s rules governing spectrum, licensing and fees.
Jio’s public listing will give investors a direct opportunity to buy into a business with more than half a billion customers, while advancing Reliance Industries’ wider strategy of expanding beyond its traditional oil-and-chemicals operations.
The initial response to the offering suggests strong demand, but the company’s performance on the stock market will depend on how investors weigh its scale and growth prospects against the costs and regulatory pressures facing its business.
