SBI Funds Management Receives SEBI Approval for IPO: Check Key Issue Details
The Securities and Exchange Board of India (SEBI) has approved the initial public offering (IPO) of SBI Funds Management Limited, paving the way for one of the most anticipated listings in India's asset management space.
According to the draft papers, the IPO will be a 100% book-built issue comprising an Offer for Sale (OFS) by existing shareholders. The shares are proposed for listing on both the NSE and the BSE.
Specific details of the price band, lot size, Anchor Investor bidding date, and public subscription opening and closing dates are yet to be announced.
SBI Funds Management IPO - Issue Details
- Issue Type: Book Building IPO
- Issue Size: 20.37 crore equity shares
- Fresh Issue: Not Applicable
- Offer for Sale (OFS): 20.37 crore equity shares
- Face Value: ₹1 per equity share
- Price Band: Yet to be announced
- Lot Size: Yet to be announced
- Listing: NSE, BSE
- Book Running Lead Managers: Kotak Mahindra Capital Company Limited, Axis Capital Limited, BofA Securities India Limited, HSBC Securities and Capital Markets (India) Private Limited, ICICI Securities Limited, Jefferies India Private Limited, JM Financial Limited, Motilal Oswal Investment Advisors Limited and SBI Capital Markets Limited.
- Registrar: KFin Technologies Limited
SBI and Amundi to Sell Stake in SBI Mutual Funds Through OFS
The proposed IPO is entirely an Offer for Sale (OFS) of up to 20.37 crore equity shares by the existing shareholders of SBI Funds Management.
Under the offer,
- State Bank of India (SBI) will divest up to 12.83 crore equity shares and
- Amundi India Holding will sell up to 7.53 crore equity shares.
As the issue does not include a fresh issue component, SBI Funds Management will not receive any proceeds from the IPO, and the net proceeds will accrue to the selling shareholders.
About SBI Funds Management Limited
Established in 1987, SBI Mutual Fund is one of India's oldest and largest asset management companies. It is a joint venture between the State Bank of India and Amundi Asset Management. The company offers a diversified range of mutual fund products across equity, debt, hybrid, ETF, and passive investment categories, catering to retail, HNI, and institutional investors.
With a strong distribution network, digital presence, and a large investor base, SBI Mutual Fund has consistently ranked among the top fund houses in India by assets under management (AUM).
Financial Performance
|
Particulars |
FY25 (in ₹ crore) |
FY24 (in ₹ crore) |
FY23 (in ₹ crore) |
|
Revenue from operations |
3,597.76 |
2,690.56 |
2,161.59 |
|
EBITDA |
3,412.94 |
2,718.82 |
1,810.41 |
|
EBITDA Margin |
94.86 % |
101.05 % |
83.75 % |
|
Profit After Tax |
2,540.15 |
2,072.79 |
1,339.71 |
What Lies Ahead for the SBI Mutual Fund IPO
SEBI will now review the draft prospectus and may seek additional clarifications before issuing its observations. Following regulatory approval, SBI Mutual Fund will file the Red Herring Prospectus (RHP), announce the price band and IPO dates, and open the issue for public subscription.
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