Jio IPO Valuation Slashed to $100B as Musk Attacks Ambani During Roadshow
QCOM sits 44% above its 52-week low of $121.99.
Summary
Jio Platforms' IPO valuation has collapsed from $160B to $100B as global funds demand a 30% discount to Bharti Airtel, and Elon Musk publicly attacked Mukesh Ambani during the roadshow. Qualcomm is one of the 13 investors who put $20.3B into Jio in 2020, holding about a third of the company. At $100B, their stake is worth about $32B, a 7.6% annual dollar return—barely above a bond fund. The rupee's 29% drop has already cost them $11B. Musk's 'oligarchs' post questions Jio's regulatory protection, adding risk to the IPO. The IPO is expected to open later this month, and bankers face a choice: price low, hold and risk a weak book, or delay.
At the time of this announcement, QCOM was trading at $175.85 on NASDAQ in the Technology sector, with a market capitalization of approximately $188B. The 52-week trading range was $121.99 to $259.92. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: Businessworld.