Ambani’s $3.2 billion Jio IPO sells out in just two hours

Reliance Jio Platforms’ $3.2 billion initial public offering (IPO) attracted overwhelming investor demand on Wednesday, with the share sale fully subscribed within less than two hours of opening, marking a major milestone for India’s stock market.

The offering is the first IPO from billionaire Mukesh Ambani’s Reliance conglomerate in two decades. The company is seeking a valuation of up to $108.3 billion, potentially placing Jio Platforms among India’s largest listed companies when trading begins on October 28.

The strong early response comes at a time when investors are becoming more selective about major public offerings, particularly those linked to technology and artificial intelligence. Jio’s business, however, remains heavily dependent on telecommunications, which accounts for more than 90 per cent of its revenue.

Institutional investors showed particularly strong interest, submitting bids worth 3.25 times the shares reserved for them, according to exchange data. Retail investor demand was comparatively slower, with applications covering around 22 per cent of their allocated portion at the time of the latest figures.

Around one-third of the shares on offer have been reserved for retail investors. The IPO will remain open for applications until Friday, with the price range set at 1,065 to 1,119 Indian rupees per share.

Jio Platforms operates India’s largest telecommunications business, with more than 500 million subscribers. The company entered the market in 2016 by offering inexpensive mobile data and free voice calls, rapidly gaining customers and challenging established competitors, including Bharti Airtel and Vodafone Idea.

The business has attracted major international investors, including Meta and Google. Earlier this week, Jio allotted shares worth approximately $853 million to global and domestic investors, including the Abu Dhabi Investment Authority and BlackRock, after demand for that reserved allocation exceeded $25 billion.

The IPO marks the culmination of a long-awaited listing plan. Ambani first promised to list the business within five years in 2019, but the process faced delays, including a postponement in 2025. Plans for an earlier offering this year were also pushed back amid the impact of the Iran war on investor appetite.

Jio Platforms reported a profit of approximately $3.2 billion on revenue of $15.5 billion for the financial year ending in March, with its telecommunications operations accounting for about 90 per cent of both figures.

The company is launching the share sale during India’s festive season, traditionally considered an auspicious period for purchases, despite subdued market conditions in recent weeks. The strong institutional response will make the offering an important test of investor confidence in large Indian companies and the country’s expanding technology sector.