Jio IPO Journey Moves Closer: Top 10 Things Investors Should Know From DRHP

Jio Platforms has taken a major step towards its stock market debut after filing its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI).

The filing gives investors a closer look at the company's finances, subscriber base, business operations and growth plans ahead of what is expected to be one of the most closely watched IPOs in recent years. The proposed issue consists entirely of a fresh issue of shares, with a substantial portion of the proceeds set to be used for debt reduction at Reliance Jio Infocomm Ltd (RJIL).

From financial performance and subscriber metrics to business segments and risks, here are 10 things investors should know from the DRHP.

1- IPO Structure and Size

The proposed public issue comprises a fresh issue of up to 27 crore equity shares with a face value of ₹10 each. There is no offer-for-sale component in the IPO, meaning existing shareholders will not be offloading their stakes through the issue.

The company said the listing would help create a public market for its equity shares while also supporting its capital requirements.

2- Use of IPO Proceeds

A large portion of the money raised through the IPO is earmarked for debt reduction.

According to the draft papers, up to ₹27,500 crore from the net proceeds will be used towards repayment or prepayment of certain borrowings of RJIL, a material subsidiary of Jio Platforms. The balance amount will be used for general corporate purposes.

3- Financial Performance

Jio Platforms reported a profit after tax of ₹30,064.3 crore in FY26, up 15.14% from ₹26,110.2 crore in the previous financial year.

Revenue from operations rose 14.55% to ₹1,46,885.3 crore from ₹1,28,218.4 crore a year earlier. The company reported an EBITDA margin of 51.91%, reflecting the scale of its telecom and digital services business.

4- Subscriber Base and Operating Metrics

RJIL served 524.4 million subscribers as of March 31, 2026, maintaining its position as India's largest telecom operator by subscriber base.

The company added 36.2 million net subscribers during FY26, while its 5G user base stood at 268 million at the end of the year. Average revenue per user (ARPU) improved to ₹214 in the exit quarter of FY26 from ₹206.2 in FY25 and ₹181.7 in FY24.

5- Data Consumption Trends

Data usage on Jio's network continued to grow during FY26.

Total data traffic reached 241.4 billion gigabytes during the year, up from 184.5 billion gigabytes in FY25. Monthly data consumption per user stood at 42.3 GB in the exit quarter, compared with 33.6 GB a year ago.

6- Debt Position

The draft papers show a decline in the company's net debt over the past two years.

Net debt stood at ₹27,579.2 crore as of March 2026, down from ₹45,273.4 crore a year earlier and ₹48,440 crore in March 2024.

7- Business Overview

Jio Platforms today operates well beyond traditional telecom services.

Its consumer offerings include mobile and fixed digital connectivity, entertainment, cloud computing, cloud gaming, cloud PC, storage and smart home solutions. On the enterprise side, the company provides broadband and leased-line connectivity, cloud services, unified communications platforms, private 5G, security solutions and AI-led products.

8- Shareholding Structure

Reliance Industries remains the promoter and largest shareholder of Jio Platforms.

The company also counts global technology firms Meta and Google among its strategic investors following the fundraising rounds undertaken in 2020.

9- Industry Position and Peers

Jio Platforms operates in the digital connectivity and digital services space. Its listed peers include Bharti Airtel and Vodafone Idea.

The company remains one of the largest participants in India's telecom market, with operations spanning mobility, broadband, enterprise services and digital platforms.

10- Key Risks Highlighted in the DRHP

The company has identified several operational and regulatory risks in the draft papers.

These include the need to maintain telecom licences and spectrum holdings, dependence on network infrastructure, potential service disruptions and cybersecurity challenges. The DRHP also highlights reliance on a limited number of passive infrastructure providers for telecom towers and optical fibre networks.

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What Happens Next?

The DRHP will now be reviewed by SEBI, which may seek clarifications or provide observations before the company moves ahead with the issue.

Details such as the price band, issue opening and closing dates, and listing schedule are expected to be announced after the regulatory review process is completed.

Source:

Jio IPO Company DRHP