Reliance Jio IPO: Telecom Major Coming Up with India-Biggest IPO

Reliance Industries, an oil-to-telecom conglomerate, is the most valued company in India with a market capitalization of approximately ₹17 lakh crores. In this blog, we’ll find out the IPO details of the group’s telecommunication company which is Reliance Jio IPO.

Reliance Jio IPO Details

Reliance Jio Infocomm, the telecom arm of Reliance Industries and a subsidiary of Jio Platforms, is planning to come up with its IPO of ₹35,000 crores – ₹40,000 crores which will be the biggest-ever IPO in India.

Reliance Jio is seeking a valuation of around ₹10 lakh crores (approx $120 billion). This IPO will be a combination of both the fresh issue and OFS component and is expected to go live by the second half of 2025.

Reliance Jio IPO: About the Company

Being India’s largest operator and the second largest single-country operator globally, Reliance Jio has a subscriber base of 478.8 million as of Q2 FY25. The company holds a 60% share of India’s data traffic and offers various services such as connectivity, fiber, mobile devices, and apps.

The company’s main focus is on the connectivity business which covers Wireless broadband (4G LTE/ 5G), Home broadband (Jio Fiber/ Jio AirFiber), Jio’s enterprise services, and IoT services. In the connectivity arena, Reliance Jio has 108 million users in the 5G networks as of FY24.

Reliance Jio is aggressively working to expand its 5G-based fixed wireless access (FWA) business, Jio AirFiber. It has expanded its distribution network, streamlined the customer onboarding process, and provided connections to more than 1 million homes every month. As of Q2 FY25, the company had a 2.8 AirFiber user base which is expected to grow by 1.9 million in Q3 FY25.

Reliance Jio IPO: Financial Performance

Here are the details of the financial results of Reliance Jio Infocomm Limited:

Standalone Metrics	FY24	FY23	YoY Change (%)
Revenue from Operations (₹ Cr)	1,00,119	90,786	10%
Operating Expenses (₹ Cr)	47,699	44,114	8%
EBITDA (₹ Cr)	52,878	47,034	12%
PAT (₹ Cr)	20,466	18,207	12%

1. Revenue and EBITDA mark: Reliance Jio crossed the two marks of ₹1 lakh crores of revenues and ₹50,000 crores of EBITDA in FY24.
2. Subscriber Addition: The company added more than 42 million subscribers (net) in FY24 which was higher than the peers.
3. Rise in EBITDA Margin: EBITDA margin rose to 52.8% in FY24 from 51.8% in FY23 with the help of higher operating leverage.
4. Growth Reasons: The robust growth in PAT and EBITDA was driven by subscriber additions in both mobility and home businesses and a rise in ARPU (Average Revenue per user) with a better subscriber mix.

Conclusion

Reliance Jio brought a major revolution in India’s telecommunication industry from its advent in 2016. Within a year of the launch of Jio, India took the leading position in the world in mobile data consumption surpassing the USA and the UK. Following the past trend, Reliance Jio IPO is expected to bring a big revolution in India’s primary market with the biggest-ever issue size and higher investor participation.

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Frequently Asked Questions – FAQs

1. How to buy Jio IPO?

Reliance Jio IPO shares can be bought once its process gets initiated in the latter half of 2025. However, you can also buy the shares in the pre-IPO placement before the shares get issued in IPO.

2. What is the value of Jio IPO?

The value of Jio IPO is expected to surpass all the big IPOs in India making it the biggest-ever IPO of India with a valuation of ₹42,100 crores.

3. What was the price of Reliance IPO in 1977?

Reliance Industries IPO in 1997 had an issue price of ₹10 per share and it was oversubscribed by seven times.

References:
https://jep-asset.akamaized.net/jio/investor-relations-debenture/rjil/other-documents/reliance-jio-infocomm-limited-annual-report-fy-2023-24.pdf

Author: All Content is verified by SMC Global Securities.