Reliance Industries is mulling over an initial public offering (IPO) to take its telecom arm Reliance Jio Infocomm public in the latter half of 2020 at the earliest, reports the Economic Times, citing sources familiar with the matter. Multiple meetings have taken place over the last month or so among company executives. Current regulatory guidelines state that telecom operators can only go public after three years of financial reporting, so “the IPO cannot come before March 2020” said one of the sources. The company’s first priority, however, is to get investors for two infrastructure investment trusts (InvITs) — Jio Digital Fibre Pvt Ltd and Reliance Jio Infratel Pvt Ltd — that own its recently de-merged fibre and tower businesses. It has appointed three investment banks - Moelis, Citi and ICICI Securities - to reach out to potential investors for the InvITs; they may also assist with the IPO. Medianama has reached out to Reliance Jio for comment and will update this once they reply. 'Concerns raised' over Jio's falling ARPU While Reliance Industries’ digital services business reported operating revenues of Rs 13,609 crore for the quarter ended March 31, 2019 (Q4FY19), reporting a 62% year-on-year increase and 10.6% growth over the last quarter, its ARPU (average revenue per user, a key metric) declined for the fifth straight quarter to Rs 126.2. A source told ET that concerns had been raised about this within the company. Here are the key subscriber numbers for the quarter: Subscriber base as of March 31, 2019…
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