Jio Platforms IPO Opens: Issue Subscribed 1.27 Times on Day 1

Jio Platforms' initial public offering opened for public subscription on October 21, aiming to raise up to ₹30,213 crore. On the first day of bidding, the issue was subscribed 1.27 times, driven largely by strong demand from Qualified Institutional Buyers.

Mumbai: Jio Platforms’ initial public offering (IPO) opened for public subscription on Wednesday, October 21, and is scheduled to close on Friday, October 23. The company is looking to raise up to ₹30,213 crore through a fresh issue of up to 27 crore equity shares.

The price band for the IPO has been fixed at ₹1,065 to ₹1,119 per equity share. Investors can bid for a minimum of 12 equity shares and in multiples thereof. The offering provides public-market investors with direct exposure to Reliance Industries’ digital connectivity and services business.

On Day 1 of the bidding, the company received bids for 25.02 crore shares against 19.75 crore shares offered or reserved across various investor categories, bringing the overall subscription to 1.27 times.

Demand was heavily led by Qualified Institutional Buyers (QIBs), whose portion was subscribed 3.86 times. Meanwhile, the Non-Institutional Investors (NIIs) portion saw a subscription of 0.42 times, and Retail Individual Investors (RIIs) subscribed 0.33 times. The shareholder reservation portion was subscribed 0.62 times.

Ahead of the public opening, Jio Platforms raised ₹8,109.85 crore by allotting 7.24 crore shares to 212 anchor investors at the upper price band of ₹1,119 apiece. According to stock exchange filings and sources familiar with the matter, institutional demand for the anchor book exceeded ₹2.5 lakh crore, representing more than 30 times the amount available.

Among anchor investors, the Life Insurance Corporation of India received the largest allocation worth ₹499.98 crore, followed by New World Fund Inc at ₹486.27 crore and the Government of Singapore at ₹340.93 crore.

The IPO structure reserves up to 50 percent of the shares for QIBs, at least 15 percent for NIIs, and at least 35 percent for retail investors. Additionally, the offer includes a reservation of 46,94,835 shares for employees at a discount of ₹54 per share, alongside a shareholder reservation of 2,23,41,376 shares for eligible Reliance Industries shareholders.

Brokerage firm Motilal Oswal Research has reviewed the issue, highlighting the company’s valuation, potential listing gains, and long-term prospects. At the same time, brokerages have flagged key risks, including regulatory interventions, competition, capital expenditure requirements, dependence on Reliance Jio Infocomm, and the ability to effectively monetise digital services.

"The strong institutional interest seen on Day 1, particularly from QIBs and the massive anchor book demand, reflects deep confidence in India's digital and telecom sector. However, retail and non-institutional participation typically evolves over the course of a three-day bidding window. Investors must carefully evaluate long-term fundamentals, capital expenditure cycles, and regulatory factors before participating in large-scale public issues." — Dr. Shishir Gupta, Founder & CEO, StartupLanes