Reliance Jio IPO set to be India’s largest, valuation could cross Rs 10 lakh cr, say experts

Jio IPO listing: Reliance Industries (RIL) chairman Mukesh Ambani on Friday announced at the company’s AGM that the long-awaited IPO of Reliance Jio is on track for the first half of 2026. “It is my proud privilege to announce that Jio is making all arrangements to file for its IPO. We are aiming to list Jio by the first half of 2026, subject to all necessary approvals,” Ambani told shareholders.

Mumbai-based investor Abhijit Chokshi noted that the Jio IPO could be the largest in Dalal Street history, nearly double the size of Hyundai India’s Rs 28,000 crore IPO last year. Reports suggest that the IPO could raise around Rs 52,000 crore, making it the biggest ever in India. For context, the IPO sizes of LIC, Paytm, and Coal India were Rs 21,000 crore, Rs 18,300 crore, and Rs 15,200 crore, respectively.

Valuation

Jio Platforms, which houses Reliance’s digital and telecom assets, was valued at $58 billion when global giants Meta Platforms and Google invested more than $20 billion in 2020. Chokshi added: “With 50 crore users and a valuation exceeding Rs 10 lakh crore, Reliance Jio will become Asia’s most valuable listed telecom and one of India’s top 10 listed companies by market capitalization.”

The IPO would also give an exit option to marquee investors while allowing Reliance to tap global capital markets. With SEBI rules now permitting mega-IPOs to list with a 2.5% minimum float, the Rs 10 lakh crore+ listing is now feasible, paving the way for fast approvals, anchor demand, and ETF flows post-listing.

Citi analysts Saurabh Handa and Prerna Goenka noted that a 5% public offer would represent over $6 billion in shares, a substantial volume for the Indian market, particularly with 35% reserved for retail investors. They added that a 2.5% public offer, totaling more than $3 billion, would help reduce supply overhang at the IPO and could also limit holding company discount concerns for RIL.

Why Jio IPO matters

Chokshi explains that Jio is no longer just a telecom operator. It is India’s largest mobile network with over 50 crore users, the fastest-growing broadband provider, a builder of 5G, AI infrastructure, and cloud services, and an OTT, payments, and commerce platform. As he emphasizes, “You’re not buying a telecom stock; you’re buying digital India’s backbone.”

Use of IPO proceeds

Reliance plans to channel IPO proceeds toward expanding 5G and fiber networks in smaller towns, building Jio AI, cloud, and data centers, funding JioFinance and e-commerce logistics, and potentially reducing telecom debt. Retail investors could receive 10% of the issue, approximately Rs 5,000 crore at a 5% float, while analysts at Citi note that a 2.5% public offer could help reduce supply overhang and limit holding company discount concerns for RIL.

Impact on Competitors

The IPO could reshape the Indian telecom sector. Airtel may survive but could lose pricing power, while Vi, with limited spectrum and capital, may struggle further. With access to global capital post-listing, Jio could consolidate its market leadership.

What it means for RIL shareholders

The separate listings of Reliance Jio and Reliance Retail are expected to unlock value for RIL’s 44 lakh shareholders, although Nuvama cautioned that a holding company discount might offset some gains. Still, these IPOs are seen as major catalysts for RIL shares in the near-to-medium term.