Jio Platforms Ltd., which is preparing for a proposed initial public offering, plans to use part of the IPO proceeds to reduce debt tied to its telecom operations. According to a draft IPO filing reviewed by Bloomberg and reported by Economic Times, the company intends to repay external commercial borrowings of almost $3 billion associated with its telecom arm. The repayment is set to come from a portion of the funds raised through the share sale. Both reports describe this as a deleveraging step that lowers the company’s leverage and aims to reduce related interest costs. While the filings emphasize the debt reduction, Economic Times also links the move to broader financial flexibility, saying it can strengthen Jio Platforms’ position for future investment. The outlet frames the potential use of improved finances around areas such as 5G, broadband, and digital services including AI and cloud. Both accounts agree on the core point: Jio Platforms plans to allocate nearly $3 billion of the IPO proceeds toward repaying telecom external commercial borrowings.