Reliance Jio- the telecom unit of Reliance Industries Ltd- could be headed for a major initial public offering (IPO) in 2025. The potential valuation of the listing could be more than ₹9.3 lakh crore, Jefferies said in a note. Jio ‘could list at $112 billion valuation’ and add ‘7-15 percent upside’ to the Reliance Industries share price, the brokerage said.

“Jio leading the way in the recent tariff hikes unlike in the past while keeping feature phone tariffs unchanged shows focus on monetization and subscriber market share gains. These moves create a case for a possible public listing in CY25 in our view,” it said. 

Their primary concern is the holdco discount of 20-50% in India but steeper (50-70%) for conglomerates in Korea and Taiwan. The large retail investor mobilization in the case of an IPO is another concern. The lower controlling stake in Jio on spin-off could be addressed by buying a part of the shares offered by private equity funds after the spin-off,” Jefferies said in the report.