Jio Platforms plans to use most of its Rs 30,213 crore IPO proceeds to repay borrowings at Reliance Jio Infocomm, improving the group’s funding flexibility without materially changing near-term leverage.
Moody’s said Jio Platforms’ planned initial public offering should strengthen Reliance Industries’ financial flexibility by cutting debt and reducing interest costs at the group’s telecom arm, while also widening the business’s access to future funding. The agency described the deal as credit positive, saying it gives Reliance a cleaner way to finance further investment in telecoms and digital services without increasing leverage.
According to the filing described by News18, Jio Platforms has launched the share sale seeking to raise about Rs 30,213 crore at the top of its price range of Rs 1,065 to Rs 1,119 a share. The issue is made up entirely of fresh shares and is scheduled to close on October 23. Jio plans to deploy up to Rs 27,500 crore of the proceeds to repay borrowings at Reliance Jio Infocomm, its wholly owned telecom subsidiary, with the balance earmarked for capital spending and working capital.
Moody’s said the listing would not radically alter Reliance’s leverage in the near term, but would improve funding flexibility at a time when the conglomerate is still spending heavily on telecom and digital expansion. The rating agency said Reliance had about Rs 2.5 lakh crore in cash, cash equivalents and current investments at the end of March, against roughly Rs 1.1 lakh crore in reported current borrowings, while capital spending is expected to remain elevated. It also said the digital business accounted for 37% of consolidated Ebitda in the year ended March 2026, underlining why the group is moving to give Jio a separate market valuation.
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