According to persons familiar with the situation, Reliance Industries Ltd. is preparing to float its division for digital financial services as early as October.
The Mukesh Ambani-controlled company is in discussions with Indian regulators to get the required permissions for Jio Financial Services Ltd.’s market debut in Mumbai. According to a filing with the exchange in March, the parent will convene a meeting of creditors and shareholders on May 2 to vote on the proposal to spin off and list the company. The listing’s specifics might alter as discussions continue.
An IPO would put Reliance in a good position to strengthen its burgeoning consumer business businesses, which include India’s largest wireless provider and largest retailer.
As it continues to grow beyond its roots in oil refining, the group, led by Asia’s richest person, announced in 2019 that it would work towards a listing for the telecommunications and retail arms in five years.
In November, Jio Financial’s non-executive chairman K. V. Kamath was nominated by Reliance. Hitesh Sethia, McLaren Strategic Ventures’ Senior Executive, has been chosen to lead the division.
Jio Financial Services Ltd. will be a technology-driven company that uses the countrywide omnichannel footprint of Reliance’s consumer companies to supply financial goods online.
For every share of Reliance they possess, shareholders will receive one Jio Financial share in the offering.
