Reliance plans INR100bn (US$1.04bn) ABS backed by Jio rental receivables

Reliance Group is planning to raise as much as INR100bn, approximately US$1.04bn at 29 September exchange rates, through an asset-backed securities transaction supported by rental receivables from group companies including Reliance Jio Infocomm.

The proposed securitisation would have an initial size of INR50bn, approximately US$521m, with an option to retain subscriptions for a further INR50bn if investor demand supports the larger issuance.

The five-year notes are expected to carry a coupon of between 8.35% and 8.40%, with Barclays understood to be the sole arranger at this stage. Reliance and Barclays had not publicly confirmed the proposed terms at publication, and the structure remains subject to change.

The receivables backing makes the transaction particularly relevant to the structured-finance market. Rather than relying solely on Reliance’s general corporate credit, the securities would be supported by contracted rental cash flows owed by companies within the group, including Jio.

That structure allows predictable future payments to be used as collateral for capital-markets funding. The precise assets to be transferred, concentration limits, collection arrangements and credit enhancements have not been publicly disclosed.

The deal would mark Reliance’s return to the Indian ABS market after a much larger transaction in September 2025, when the group raised INR210bn, equivalent to approximately US$2.19bn at current exchange rates, through asset-backed securities.

The latest proposal also comes as Reliance broadens its borrowing across funding markets. The group recently raised INR120bn, approximately US$1.25bn, through five-year conventional bonds, making the proposed securitisation another component of a wider funding programme rather than an isolated liquidity exercise.

India’s securitisation market has also expanded rapidly. ABS issuance reached a record INR1.53tn, approximately US$15.95bn at current exchange rates, in the financial year ended 31 March 2026.

For investors, the proposed Reliance transaction would bring a large corporate name into a market still dominated by non-bank financial companies. For Reliance, it provides another route for turning contracted intra-group cash flows into term funding without relying exclusively on unsecured borrowing.