Authored by : Abhinav Ranjan Updated Jul 11, 2024 14:46 IST Reliance Jio IPO: Jefferies note on launch date, listing date (Pic: Shutterstock/ET NOW)Reliance Jio IPO Launch Date, News: Global brokerage firm Jefferies is hopeful that the Reliance Jio Infocomm IPO will be launched soon.
In its research report, the brokerage said that JIO IPO launch could take in 2025.
Reliance Jio Infocomm is the telecom business of Reliance Industries which is led by Mukesh Ambani .
On the possible listing of Jio shares, it said that the listing could take place in 2025 irrespective of routes.
Just like Jio Financial Services, Reliance Industries could spin off Jio and list it after a price discovery.
Authored by : Abhinav Ranjan Updated Jul 11, 2024 14:46 IST Reliance Jio IPO: Jefferies note on launch date, listing date (Pic: Shutterstock/ET NOW)
Reliance Jio IPO Launch Date, News: Global brokerage firm Jefferies is hopeful that the Reliance Jio Infocomm IPO will be launched soon. In its research report, the brokerage said that JIO IPO launch could take in 2025.
Reliance Jio Infocomm is the telecom business of Reliance Industries which is led by Mukesh Ambani .
Jefferies said that Reliance Jio could be valued at $112 billion upon its public listing. At an dollar-rupee exchange rate of 83.49, this translates to 9.35 lakh crore.
The brokerage talked about two scenarios for the listing in its reports -- IPO route and vertical spin-off. Jefferies said Reliance Industries investors prefer the latter route.
On the possible listing of Jio shares, it said that the listing could take place in 2025 irrespective of routes.
Notably, the company has 33.7 per cent minority shareholders and Reliance Industries can fulfill the IPO requirement by listing 10 per cent of Jio's stake. The entire IPO could be an Offer for Sale (OFS) by minorities.
"While RIL would retain majority control after the listing, analysis suggests the market imputes a holdco discount of 20-50 per cent to a listed subsidiary in arriving at a holdco's fair value," it said.
In the case of vertical spin-off route, Jefferies said that there may not be holding company discount for Reliance Industries, but lower stake. Just like Jio Financial Services, Reliance Industries could spin off Jio and list it after a price discovery. Reliance Industries shareholders will get proportionate shareholding in Jio.
Jefferies said that assuming Jio is demerged from Reliance Industries, the fair value for RIL would be Rs 3,580. In case of IPO route, the brokerage said that RIL's fair value comes out to be Rs 3,365.
