Jio IPO Reaches Reliance’s 420,000-Worker Network

Mukesh Ambani is encouraging employees across Reliance Industries’ companies to consider investing in Jio Platforms’ $3.2 billion initial public offering, while October salaries arrived about 15 days earlier than usual. Employees weren’t told why the pay came early, according to people familiar with the matter, who asked not to be identified because the information is private. Reliance Industries didn’t immediately comment.

The outreach reached most of Reliance’s nearly 420,000 employees. Teams asked whether employees or family members had electronic share-trading accounts and urged those who didn’t to open them. That could make employees, and possibly their families, shareholders in the telecom and digital services arm.

Workforce Outreach

Reliance Industries had 419,911 employees as of June 30, according to data compiled by Bloomberg, giving it the second-biggest workforce among India’s listed companies, behind Tata Consultancy Services Ltd. Jio’s website lists 74,822 Jio employees within that total.

Workers have different ways to enter the offering. Jio employees can apply through the employee quota, while other Reliance workers can bid in the retail category. Those who also hold shares in the parent company can apply through a portion reserved for those investors.

The early salary payment and investment outreach came as the company prepared the IPO. The source account doesn’t say the early payment was meant to fund share purchases; employees weren’t told its reason, according to people familiar with the matter. Reliance Industries didn’t immediately comment on the outreach.

IPO Terms and Access

Jio is targeting a valuation of up to ₹10.3 lakh crore, or $108 billion, and aims to raise as much as ₹30,200 crore. The offering includes up to 270 million shares, priced at ₹1,065 to ₹1,119 each.

Company filings reserve up to ₹500 crore worth of shares for eligible employees, who get a 5% discount. Another allocation sets aside up to ₹2,500 crore worth of shares for eligible Reliance Industries shareholders. These provisions give employees and parent-company investors separate ways to apply.

Not every worker qualifies for the same category. Jio employees apply through the employee quota; other Reliance employees use the retail category, unless they also qualify as parent-company shareholders. The outreach to workers and their families is taking place alongside these defined participation categories in the IPO details.

Subscription and Investor Interest

The anchor book is scheduled to open on October 19, with the IPO subscription period set for October 21 to October 23. Jio has attracted more than $20 billion in bids. People familiar with the matter said global investors including Fidelity Management & Research, Allianz SE and Capital Group have indicated interest.

The workforce campaign is unfolding alongside a large offering and interest from global investors. The available information sets out employee allocations, the retail route for other Reliance workers and the reserved portion for eligible shareholders. It doesn’t say how many employees or family members plan to invest, how many have opened trading accounts, or how many shares workers will ultimately apply for. Reliance Industries hadn’t immediately commented.