Summary:
SBI Funds Management is set to launch one of India's largest IPOs on July 14, 2026, through a complete Offer for Sale by promoters State Bank of India and Amundi. The IPO, priced at ₹545–₹574 per share, will give investors an opportunity to invest in India's largest asset management company, backed by strong financials and industry-leading assets under management.
India’s mutual fund industry is set to witness one of its biggest public issues as SBI Funds Management has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for its Initial Public Offering (IPO). The company, India’s largest asset management company (AMC) by quarterly average assets under management (QAAUM), has maintained its leadership position since March 2021.
Backed by State Bank of India (SBI) and European asset management major Amundi, SBI Funds Management has created one of India’s largest investment platforms. SBI and Amundi currently hold around 98% stake in the company. The IPO will provide a partial exit opportunity to both promoter shareholders while bringing the country’s largest fund house to the stock market.
SBI Funds Management IPO Structure
IPO would consist entirely of Offer for Sale (OFS), which means that there would be no issuance of fresh equity shares. In terms of share capital, the offer is limited to up to 20.37 crore equity shares having a face value of ₹1 per share. As there would be no capital raising activity through this offer, none of the proceeds from the issue would go to SBI Funds Management.
In accordance with the terms of OFS, State Bank of India will be selling 12.83 crore shares accounting for 6.3% shareholding, whereas Amundi India Holding would be selling 7.54 crore shares, which accounts for 3.7% shareholding. This stake sale will enable promoters to partially monetize their stake, whereas company will gain through higher visibility post listing.
IPO Price Band, Dates and Allocation
The SBI Funds Management Ltd. has set the price band at ₹545 to ₹574 per equity share. The issuance of the securities is set to start from July 14, 2026, and will be completed on July 16, 2026. The anchor investor book is to be opened on July 13, 2026.
The date of completion of allotment is expected to be July 17. Refunds and crediting of shares to demat accounts are expected to occur on July 20. The company is expected to get listed on the stock exchanges on July 21, 2026.
The process of issue will be based on book building. At most 50% of the issue has been reserved for QIBs, while at least 15% has been allotted to NIBs. The retail individual bidders will receive at least 35% of the total offer. Within the QIBs, up to 60% can be reserved for anchor investors.
Amundi Set to Unlock Significant Value
One of the most important highlights of the upcoming IPO is that of the possible value generation for Amundi India Holding. The company bought the stake after acquiring the stake owned by Société Générale back in 2011. As per the DRHP, Amundi’s weighted cost of acquisition is only ₹4.35 per share.
With regards to the possible valuation in the IPO, Amundi will possibly make close to ₹4,400 crore from the partial disposal of their stake.
Financial Performance and Business Overview
SBI Funds Management Company was founded in 1992 and started operations as SBI Funds Management Private Ltd. With time, it transformed into a joint venture between SBI and Amundi. The firm offers various products like mutual funds, portfolio management services, offshore funds, and advisory services.
At the end of December 31, 2025, SBI Funds Management had 126 schemes of mutual funds falling in equity, debt, and hybrid categories. The QAAUM (Quarterly Average Assets Under Management) of the company came to ₹29.04 lakh crore out of which mutual fund QAAUM was ₹12.50 lakh crore.
In the nine months till December 31, 2025, SBI Funds Management earned ₹3,250.64 crore as its revenue from operations. Its key source of income was management fees. It earned 31.25% Return on Net Worth (RoNW).
The offer for sale is handled by leading investment banks such as Kotak, Axis Capital, BofA, HSBC, I-Sec, Jefferies, JM Financial, Motilal Oswal, and SBICAPS. Being an OFS, the offering will provide liquidity to the existing shareholders while boosting the presence of SBI Funds Management in the market.
