Jio has had a stellar listing on the stock market. Currently, the company’s shares are trading at a price of over ₹1,350. There is significant discussion regarding the gains made by various parties from this IPO and subsequent listing. A total of 19 lead managers were engaged to facilitate this IPO. According to reports, these 19 banks were paid fees amounting to approximately ₹200 crore. Meanwhile, prior to the listing, anchor investors contributed over ₹8,100 crore to Jio—a major success for the company. Following the listing, the company’s valuation has risen to ₹2.36 lakh crore, making Jio Platforms the second most valuable company in the country. Additionally, retail investors have also gained more than 21 percent from this issue.
Prior to listing, Jio Platforms raised ₹8,110 crore from anchor investors, with the entire amount going directly to Jio. The company will utilize these funds for debt repayment and the initiation of new projects. According to experts, this IPO from Jio was entirely a ‘fresh issue.’ Consequently, the funds raised from investors will neither go into the pockets of promoter Mukesh Ambani nor to existing investors like Meta and Google. Most notably, anchor investors submitted bids for more than 30 times the available portion.
How much did the lead managers receive? Nineteen banks were appointed as lead managers for the Jio IPO. According to the Draft Red Herring Prospectus, the book-running lead managers included Kotak Mahindra Capital, Morgan Stanley, BofA Securities, Axis Capital, BNP Paribas, Citigroup, CLSA, DAM Capital, Goldman Sachs, HDFC Bank, HSBC, ICICI Securities, IIFL Capital, Jefferies, JM Financial, J.P. Morgan, SBI Capital, and 360 ONE. As per reports, the fees for these lead managers were set at 0.65 percent of the total issue value. According to a report by Bar & Bench, the total size of the Jio IPO was ₹30,187 crore. Based on this, the lead managers’ fees—calculated at 0.65 percent—amounted to ₹196.2 crore.
Investors have also benefited significantly following the company’s stock market listing. The listing of Jio Platforms has revealed the company’s true value; it is currently valued at ₹12.50 lakh crore. This represents an increase of ₹2 lakh crore over the valuation estimated at the time of the IPO. Consequently, Jio Platforms has emerged as the country’s second-largest company, trailing only Reliance Industries. It has surpassed Airtel, which currently holds a valuation of approximately ₹12 lakh crore.
