BREAKING: Jio Platforms Files DRHP! Reliance IPO Plan Officially Begins ₹27,000 Cr Plan Revealed

[00:00:00]Hello and welcome. You're watching News Now on ET Now. I am Sneha Shah, and the big breaking this hour is, of course, uh Reliance Jio's AGM, and the bigger story here is Jio Platforms filing for their draft red herring prospectus with the market regulator SEBI. From what we understand initially, it's a fresh issue up to 270 million equity shares. That translates to about 27 crore equity shares. No offer for sale component is something that we're seeing in this IPO.

[00:00:25]We've got the DRHP out. We've got a list of the rationale behind the fund utilization, as well as the name of the lead book running managers. And Anurag Joshi is joining us with more details on that.

[00:00:38]>> Jio Platforms has finally filed the draft offer document for its proposed initial public offering. The IPO will comprise a fresh issue of up to 270 million equity shares, and there will be no offer for sale component in the IPO.

[00:00:56]Uh the Reliance Industries continues to remain the founder of Jio Platforms, and uh the uh company, Jio Platforms, will use the IPO proceeds largely to repay RIL debt. And up to rupees uh 275 billion rupees of net proceeds are earmarked for the prepayment of RIL's borrowings. And the balance of the IPO proceeds are for general corporate purposes. Uh uh one of the uh caveat in the DRHP is that the general corporate purpose allocation cannot be more than uh 25% of the uh gross proceeds of the uh IPO. Uh the board of Jio Platforms had earlier cleared the uh DRHP. Uh and uh Mukesh Ambani, chairman of Reliance Industries, at the company's AGM, had said that the Jio Platforms is filing the uh DRHP today.

[00:01:53]>> Anurag, thanks so much for taking us through that. So, yes, that's the big development coming in of course lots of key takeaways coming in from Reliance 49th AGM in terms of their plans for their O2C business. Lofty plans when it comes to Jio Platforms and now that DRHP has been filed with the market regulator SEBI and also that 1 lakh crore revenue plan that they have for Reliance Retail by 2030. Sounds good. They're going to be investing about 30,000 crore rupees over a span of 3 years for the FMCG business and he and Mr. Ambani Mr. Mukesh Ambani sees the FMCG as a billion dollar opportunity business. So that's all the key takeaways that we have from the Reliance AGM but yes of course the biggest one is their commentary on AI and how they're pivoting largely towards that and the kind of incorporation that they want to do of AI. They've gone ahead and inked partnerships with Google, Meta, Nvidia for AI. They're also going to be launching their own sovereign satellite constellation network when it comes to artificial intelligence. So in a nutshell this sums up the important key takeaways from Reliance's 49th AGM but yes the biggest headline from that AGM is the filing of Jio Platforms DRHP with the market regulator that has now happened. We've had additional details from their IPO about 27,500 crore rupees are going to be used to prepay loans that Jio Platforms has taken and the remaining is going to be used for corporate general purposes. So we're pegging the IPO amount to be in the ballpark of that number while yes of course we do not have the final number and we'll only get that when the RHP is out and that could be sometime ahead.

[00:03:24]But yes those are some of the important details to watch out for when it comes to Reliance and since the AGM ended after the market closed we could also see the impact of this development come Monday morning on Reliance when market opens. So watch out for that but on that note time to slip into a very short break. Be right back for more.

[00:03:52]>> Mhm.