Jio Platforms Ltd., the digital and telecommunications arm of billionaire Mukesh Ambani’s oil-to-retail conglomerate, has received regulatory approval for its initial public offering, clearing a key hurdle in its long-awaited plan to go public.
The Securities and Exchange Board of India issued an observation letter during the week ended Aug. 28, effectively giving the company clearance to proceed with the IPO, according to the regulator’s website Friday.
Jio Platforms, part of Reliance Industries Ltd., filed draft documents on June 19 for the offering. The IPO comprises as many as 270 million new shares, according to the prospectus. That would amount to a dilution of about 2.9% of the company’s equity, according to Bloomberg News calculations.
The draft prospectus said net proceeds from the share sale will be used to repay debt and for general corporate purposes.
The company, which owns India’s largest wireless carrier, could raise as much as $4 billion in the IPO and seek a valuation of more than $100 billion, people familiar with the matter said earlier.
An offering of that size would surpass Hyundai Motor India Ltd.’s $3.3 billion IPO in 2024 and could provide another boost to India’s equity capital markets.
Ambani, Reliance’s chairman and managing director, first outlined plans to take Jio Platforms public in 2019. At last year’s shareholder meeting, he said the company was targeting a listing by June 2026.
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