Jio’s IPO preparations in full swing
Reliance Industries Limited has made full preparations to list its telecom unit ‘Jio Platforms Limited’ in the stock market. If sources related to the market are to be believed, this group led by Mukesh Ambani can submit the initial draft paper for Jio’s IPO in the month of May. This news is also special for investors because it can prove to be the biggest IPO in the history of the country. If you invest in the stock market, then next month you may get a chance to become a part of a big company like Reliance.
March plans postponed, what is the plan now?
Earlier the plan of Reliance was to submit the documents of this IPO only by the end of March. At that time the company wanted to enter the market on the basis of financial data of December quarter. But due to the ongoing war in Iran, there was a huge decline and instability in the global stock markets. In view of this situation, the company decided to advance its timeline. Now the company will go to the market regulator with the earnings and detailed data for the entire financial year (ending March 31).
How will investors get benefit?
The biggest advantage of submitting documents in May will be that it will include absolutely accurate information about Jio’s recent performance. For any telecom company, the most important figures are its number of new subscribers (subscriber growth) and average earnings per subscriber (ARPU). When the latest figures for the entire year become available to investors, they will be able to better assess the real strength of the company and its future earnings. Experts believe that by entering the market with these strong figures, this issue of Jio can get an even better response from investors.
No big IPO of Reliance after two decades
This IPO is going to be historic in many ways. After a long gap of almost two decades, a public issue of a big company of Reliance Group is coming in the market. Currently, Reliance is in a ‘silent period’ before the announcement of its results. The company’s quarterly results are going to come next week, so there is no possibility of any official filing related to the IPO during this period.
The army of 19 big banks is taking command
To make this mega IPO successful, Reliance had started preparations on a large scale since last month. To manage this entire process, 19 leading global and domestic banks like Kotak Mahindra Capital, Morgan Stanley, JM Financial, Goldman Sachs, HSBC Holdings, Bank of America and Citigroup have been appointed as advisors. However, internal discussions are still going on about what will be the final size of the IPO and what will be its exact timing.
Disclaimer: This article is for information only and should not be considered as investment advice in any way. TV9 Bharatvarsh advises its readers and viewers to consult their financial advisors before taking any money-related decisions.
