Jio Platforms, the digital and telecom arm of Reliance Industries Ltd., is reportedly gearing up for a mega initial public offering (IPO) that could value the company at approximately ₹11 lakh crore ($114 billion). This ambitious target positions Jio Platforms to seek a substantial valuation premium over its primary competitor, Bharti Airtel Ltd., according to recent reports.
India's Largest-Ever IPO on the Horizon
While the IPO size is said to be trimmed from earlier estimates, the offering of about $3.4 billion (₹32,000-32,500 crore) would still make it India's largest public issue. This would surpass the previous record held by Hyundai Motor India Ltd., which raised ₹27,870 crore in 2024. The move underscores Jio's strategic focus on expanding its volume-led ecosystem, prioritizing subscriber retention and bundling services over immediate mobile tariff hikes.
Analyst Insights on Valuation and Market Impact
Analysts at Motilal Oswal Financial Services Ltd. (MOFSL) noted that the targeted valuation aligns with their ascribed valuation of ₹11.2 lakh crore for Jio Platforms. This implies a 12 times FY28E EV/EBITDA multiple, representing a 17 percent premium compared to Bharti Airtel's India business, which is estimated at 10.3 times FY28E EV/EBITDA. Bloomberg Intelligence analyst Chris Muckensturm also highlighted that even at a lower valuation, Jio maintains a forward EV/EBITDA multiple of 12-13 times against Bharti Airtel’s 9.5 times.
“We note that the valuation ask is broadly in line with our current ascribed valuation of Rs 11.2 lakh crore for JPL and implies 12 times FY28E EV/EBITDA, representing a 17 per cent premium to the implied 10.3 times FY28E EV/EBITDA multiple for Bharti’s India business,” MOFSL stated.
The delay in industry-wide tariff hikes has impacted the stock performance of both Airtel and RIL. However, analysts maintain a 'buy' rating on both, citing their compelling risk-reward ratios. The upcoming IPO's valuation will be a critical factor influencing the near-term stock prices of telecom operators, as highlighted by Elara Capital.
IPO Timeline and Grey Market Premium
Although official dates have yet to be announced and the Red Herring Prospectus (RHP) remains unfiled, market speculation suggests an anchor book opening on October 19, 2026, with the issue launching on October 21 and closing on October 23. A stock market debut is anticipated around October 28. Even without official confirmation, Jio Platforms has been commanding a significant grey market premium (GMP), recently rising to ₹167-170 per share from an earlier ₹148-150. Market sources expect a price band in the range of ₹1,150-1,200 for the shares.
Proceeds from the IPO are expected to help pare down debt and enhance balance-sheet flexibility for Jio Platforms. However, rising capital expenditure in areas like fixed broadband, artificial intelligence, and satellite services could temper cash flow improvements in the fiscal year 2026.