(Image caption: A security officer uses his mobile phone with the Jio logo in the background. Photo: Ashish Vaishnav/Reuters.)
Indian expatriates in the UAE who qualify as Non-Resident Indians (NRIs) or Overseas Citizens of India (OCI) cardholders can apply for shares in Jio Platforms’ record-breaking initial public offering (IPO) from October 21. Financial experts expect strong interest from Gulf investors, but caution that the stock may not deliver immediate listing-day gains.
Jio Platforms, the digital arm of Reliance Industries, is offering 270 million new shares at a price band of ₹1,065 to ₹1,119 per share, equivalent to approximately Dh41.21 to Dh43.30. At the upper end of the range, the IPO could raise around $3.2 billion (Dh11.74 billion), surpassing Hyundai Motor India’s $2.9 billion listing in 2024.
The company is expected to list around October 28.
How UAE-Based NRIs Can Apply for the Jio IPO
According to Madhur Kakkar, founder and CEO of Elevate Financial Services, eligible NRIs and OCI cardholders need:
- A valid Permanent Account Number (PAN).
- An NRI demat account.
- An NRE or NRO bank account.
- Updated Know Your Customer (KYC) details.
Applications can be submitted through a bank’s Application Supported by Blocked Amount (ASBA) facility. Under this process, the application amount is blocked in the investor’s bank account, but money is deducted only for the shares allotted. Any remaining amount is released.
The type of bank account used is also important. Shares purchased using an NRE account are fully repatriable to the UAE, while investments funded through an NRO account are subject to restrictions on repatriation, Kakkar said.
Vijay Valecha, chief investment officer at Century Financial, advised applicants to confirm payment arrangements with their bank or broker because UPI may not be available for NRI accounts. A separate Portfolio Investment Scheme (PIS) account is generally not required.
UAE residency alone does not make a person eligible to apply. Foreign nationals cannot participate directly in the retail or non-institutional categories. They may gain exposure through a registered foreign portfolio investor, a global fund participating in the IPO or by purchasing shares on the Indian market after listing.
Jio IPO: How Much Can UAE Investors Invest?
There is no separate quota for NRIs, meaning eligible UAE-based investors will compete for shares alongside resident Indian applicants.
One lot consists of 12 shares. At the upper price of ₹1,119 per share, a lot costs ₹13,428, or approximately Dh520.
Retail investors can apply for a maximum of ₹2 lakh, equivalent to 14 lots and approximately Dh7,250. Larger applications fall under the non-institutional investor category, which includes bids ranging from ₹2 lakh to ₹10 lakh and those exceeding ₹10 lakh.
NRIs who held Reliance Industries shares as of October 14 may also be eligible to apply for up to an additional ₹2 lakh under the reserved shareholder category, alongside their main application, subject to the final offer terms.
Valecha said UAE-based NRI investors typically submit applications worth ₹1.5 lakh to ₹1.9 lakh, or approximately Dh5,800 to Dh7,300.
Given expectations of strong demand, some investors are applying for a single lot through multiple eligible family accounts. Allotment could be highly competitive, and many retail applicants may receive just one lot, he said.
Gulf Investors Show Interest in Jio IPO
Kakkar said market reports suggest that sovereign wealth funds based in Abu Dhabi are among the investors interested in the IPO’s anchor book, alongside funds from Singapore and Norway.
Anchor bidding is scheduled for October 19. Jio also held investor meetings in Abu Dhabi as part of its IPO roadshow.
Is Jio’s IPO Fairly Priced?
At the top of the price band, Jio Platforms would have a valuation of approximately ₹10.3 lakh crore, or $108 billion (Dh396.36 billion). This is slightly below Bharti Airtel’s valuation of around ₹11.6 lakh crore, or $122 billion.
Jio’s valuation represents roughly 34 times its financial year 2026 net profit of ₹30,049 crore, compared with around 35 times for Airtel.
However, the comparison looks less favourable for Jio when debt is taken into account. Valecha estimated Jio’s enterprise value at 11 to 12 times its projected 2027 operating profit, compared with 9.3 times for Airtel.
Kakkar cited brokerage estimates placing Jio at 10.5 to 10.9 times forecast financial year 2028 earnings, compared with 9.2 times for Airtel’s India business.
Despite the valuation premium, Jio has a significant market presence. It accounts for around half of India’s wireless broadband market, compared with Airtel’s 35 per cent, Valecha said.
Jio has more than 530 million subscribers and handles approximately 60 per cent of India’s mobile data traffic. However, Airtel generates average monthly revenue of ₹257 per user, compared with ₹214 for Jio.
Jio’s future growth could therefore depend partly on tariff increases expected after its listing.
Should UAE NRIs Invest in Jio?
Both experts advised investors to approach the IPO with a long-term perspective rather than expecting quick profits on listing day.
Kakkar described the pricing as “reasonable” but said it was “not an obvious bargain”. He also warned that rupee depreciation could reduce investors’ returns when their investments are converted into dirhams.
Around ₹27,500 crore raised through the fresh issue is expected to be used to repay borrowings at Reliance Jio Infocomm.
The fresh issue represents only about 2.9 per cent of Jio’s post-issue share capital. As a result, early share-price movements could depend heavily on the balance between demand and available supply rather than the company’s underlying business performance.
For UAE-based investors, the key considerations are eligibility, the correct banking and demat arrangements, the possibility of limited allotment, currency risk and the company’s long-term growth prospects. Experts see potential value in Jio, but investors should not assume that strong IPO demand will automatically translate into immediate listing gains.
