SBI Funds Management To Debut On July 21 After ₹9,813-Crore IPO

SBI Funds Management, India’s largest asset management company, is set to make its stock market debut on July 21 following the completion of its ₹9,813-crore initial public offering (IPO). The shares will be listed on both the BSE and NSE.

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The IPO received bids worth nearly ₹2.97 lakh crore, with investors applying for 518.93 crore shares against the 12.46 crore shares available for public subscription after the anchor allocation. The issue was subscribed 41.66 times overall.

The basis of allotment was finalised on July 17, and shares are expected to be credited to successful applicants’ demat accounts before the listing.

Anchor Investors Included Global Institutions

Before the public issue opened, SBI Funds Management raised ₹2,663 crore from 129 anchor investors by allotting 4.64 crore shares at the upper end of the ₹545-574 price band.

The anchor book included the Abu Dhabi Investment Authority, the Government of Singapore, BlackRock, Capital Group, Fidelity, Goldman Sachs, Morgan Stanley, Citigroup and Societe Generale. Domestic institutions such as LIC, HDFC Mutual Fund, ICICI Prudential Mutual Fund, HDFC Life Insurance, Nippon India Mutual Fund and Kotak Mahindra AMC also participated.

The issue was entirely an offer for sale. State Bank of India sold 8.43 crore shares, while Amundi India Holding offered 8.66 crore shares. Since the IPO did not include a fresh issue of shares, SBI Funds Management will not receive any proceeds from the offering.

SBI Funds Management Share Price To Be Tracked After Listing

SBI Funds Management manages assets of more than ₹12 lakh crore, making it India’s largest asset management company. Its listing will bring another major asset manager to the listed market, with the company becoming the seventh AMC to debut on the stock exchanges.

The IPO’s institutional demand was particularly strong, while non-institutional, retail and shareholder categories also recorded substantial participation. The issue was priced at ₹574 per share at the upper end of the band.

The company is a joint venture between State Bank of India and Amundi India Holding. Its management has highlighted the potential for further expansion in India’s mutual fund industry, supported by the country’s large banking customer base and growing participation in market-linked investment products.

SBI has more than 530 million customers, while around 5.5 million currently invest in SBI Mutual Fund schemes, according to company management. The business plans to use SBI’s distribution network and digital channels to expand access to its products.

With the SBI Funds Management share price set to become a new market reference after the July 21 listing, investors will closely track the company’s trading debut following the unusually strong subscription to its public issue.