SBI Funds Management
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Subscription
- Qualified institutionalQIB
- 0.07×
- Big non-institutionalbNII · above ₹10 lakh
- 1.25×
- Small non-institutionalsNII · ₹2–10 lakh
- 1.36×
- Retail individualRII · up to ₹2 lakh
- 0.59×
- Employeesreserved quota
- 0.99×
Grey market premium
Unofficial and indicative — not a forecast
Day-wise premium · 11 observations
| Date | GMP | % | Sauda | Est. listing | Gain / lot |
|---|---|---|---|---|---|
| 21 Jul 2026 | ₹65 | — | ₹1,300 | — | ₹1,690 |
| 20 Jul 2026 | ₹95.5 | — | ₹1,900 | — | ₹2,483 |
| 19 Jul 2026 | ₹104 | — | ₹2,100 | — | ₹2,704 |
| 18 Jul 2026 | ₹92.5 | — | ₹1,800 | — | ₹2,405 |
| 17 Jul 2026 | ₹92 | — | ₹1,800 | — | ₹2,392 |
| 16 Jul 2026 | ₹97 | — | ₹1,900 | — | ₹2,522 |
| 15 Jul 2026 | ₹92 | — | ₹1,800 | — | ₹2,392 |
| 14 Jul 2026 | ₹88 | — | ₹1,700 | — | ₹2,288 |
| 13 Jul 2026 | ₹100 | — | ₹2,000 | — | ₹2,600 |
| 07 Jul 2026 | ₹140 | — | ₹0 | — | ₹3,640 |
| 06 Jul 2026 | ₹140 | — | ₹0 | — | ₹3,640 |
Gain per lot assumes the premium holds to listing and that the application is allotted — allotment in an oversubscribed issue is a lottery, so it is indicative, not expected. Sauda is the rate paid for a submitted application itself.
Issue details
- IPO date
- 14 Jul 2026 – 16 Jul 2026
- Listing date
- 21 Jul 2026
- Face value
- ₹1 per share
- Issue price
- ₹574 per share
- Lot size
- 26 shares
- Sale type
- Offer for sale
- Issue type
- Book Building issue
- Total issue size
- ₹9,813 Cr
- Fresh issue
- ₹0 Cr 0 shares
- Offer for sale
- ₹9,795 Cr 17,09,56,631 shares
- Market cap at offer price
- ₹1,16,914 Cr
- Promoter holding
- 96.38% → 88.00% pre-issue → post-issue
- ISIN
- INE640G01020
- CIN
- U65990MH1992PLC065289
- Registrar
- Kfin Technologies Ltd.
- Lead managers
- Kotak Mahindra Capital Co.Ltd.
- Registered office
- 9th Floor and Unit No. 1002, 1003 and 1004 of 10th Floor, Crescenzo, C – 38 & 39, G Block, Bandra Kurla Complex, Bandra (East), Mumbai 400 051, Maharashtra, India
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Anchor investor · within QIB | 4,63,93,095 | — | — |
| Market maker | 0 | — | — |
Application size
Minimum 26 shares per lot, in multiples, at ₹574
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 26 | ₹14,924 |
| Retail (max) | 13 | 338 | ₹1,94,012 |
| S-HNI (min) | 14 | 364 | ₹2,08,936 |
| S-HNI (max) | 67 | 1,742 | ₹9,99,908 |
| B-HNI (min) | 68 | 1,768 | ₹10,14,832 |
Category limits
| Category | Bid size | Cut-off |
|---|---|---|
| Retail (RII) | Up to ₹2 lakh | Yes |
| Small HNI (sNII) | ₹2 lakh – ₹10 lakh | No |
| Big HNI (bNII) | Above ₹10 lakh | No |
| Employee | Up to ₹5 lakh | Yes |
Bidding at cut-off means accepting the final issue price without naming one. Only retail and employee applicants may do so.
Anchor investors
Institutional allocation placed a day before the issue opens, carved out of the QIB portion and locked in after listing.
Valuation and performance
Valuation at offer price
₹574 per share
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 15.06 | 15.06 |
| P/E (×) | 38.11 | 38.11 |
| Price to book (×) | 14.05 | — |
| Market cap | — | ₹1,16,914 Cr |
Key performance indicators
Latest reported period, consolidated
- Return on net worth
- 33.77%
- EBITDA margin
- 94.86%
- NAV per share
- ₹40.85
- Price to book
- 14.05
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
Company financials
Consolidated ·₹ crore unless a row shows % or ×, as reported in the offer document
| Period ended | FY26 | FY25 | FY24 |
|---|---|---|---|
| Profit and loss | |||
| Total income | 4,976.11 | 4,236.15 | 3,426.08 |
| Revenue from operations | 4,389.48 | 3,597.76 | 2,690.56 |
| Other income | 586.62 | 638.39 | 735.52 |
| Total expenses | 970.61 | 871.81 | 752.46 |
| Operating profit | 4,005.5 | 3,364.34 | 2,673.62 |
| Operating margin | 80.49% | 79.42% | 78.04% |
| Profit before tax | 4,005.49 | 3,364.34 | 2,673.62 |
| Profit after tax | 3,067.37 | 2,540.15 | 2,072.78 |
| PAT margin | 61.64% | 59.96% | 60.50% |
| Balance sheet | |||
| Total assets | 6,420.45 | 8,771.86 | 7,106.93 |
| Current assets | 5,920.66 | 8,336.04 | 6,819.79 |
| Current liabilities | 160.64 | 148.14 | 131.59 |
| Total liabilities | 457.38 | 474.33 | 359.18 |
| Net worth | 596.31 | 8,297.53 | 6,747.75 |
| Current ratio | 36.86× | 56.27× | 51.83× |
| Return on equity | 514.39% | 30.61% | 30.72% |
| Cash flow | |||
| Operating cash flow | 2,487.6 | 1,992.38 | 1,438.21 |
| Investing cash flow | 2,974.46 | -937.55 | -1,304.91 |
| Financing cash flow | -5,457.79 | -1,043.05 | -131.62 |
| Net cash flow | 4.27 | 11.78 | 1.68 |
Objects of the issue
Stated use of the net proceeds— open a row for the issuer's full explanation
1 Offer for Sale by Selling Shareholders —
The company intends to carry out an Offer for Sale of up to 203,709,239 Equity Shares of face value of ₹1 each by certain Selling Shareholders.
2 Achieve Benefits of Listing —
The company aims to achieve the benefits of listing the Equity Shares
2 of 2 objects carry no stated amount — typically general corporate purposes, funded from whatever remains — so the total above is the quantified portion only, not the whole issue.
About SBI Funds Management
SBI Funds Management Limited (SBIFM) is an India-based asset management company incorporated in 1992 and converted to a public limited company in December 2021. As of March 31, 2026, the company managed approximately ₹29,461.05 billion in total quarterly average assets under management (QAAUM), comprising mutual funds (₹12,509.98 billion), portfolio management services and advisory (₹16,878.99 billion), and alternative investment funds (₹65.65 billion). The company generates revenue primarily through management fees from mutual fund schemes, which represented 96.47% of revenue from operations in Fiscal 2026 (₹43,894.88 million). SBIFM operates through multiple distribution channels including SBI's branch network, digital platforms, and a network of over 132,500 mutual fund distributors. The company is majority-owned by State Bank of India (60.44%) and Amundi India Holding (36.14%), with operations spanning India and international markets through subsidiaries in Mauritius and the GIFT City.
Management
Nand Kishore
CEO
Strengths
As stated in the offer document
Largest Asset Management Company in India
The company is India's largest AMC by mutual fund QAAUM as of December 31, 2025, with a market share of 15.4% and lowest operating expense ratio of 0.08% among top 10 AMCs.
Leading Institutional Asset Management Platform
The company operates India's largest PMS platform with 39.0% market share and largest SIF platform with 61.0% market share as of December 31, 2025.
Market-Leading SIP Franchise
The company holds 16.09% market share by live SIP count with 15.76 million live SIPs, demonstrating strong investor stickiness and retention.
Dual Parentage Advantage
The company benefits from SBI's domestic franchise with 96+ million YONO users and Amundi's global expertise managing €2.4 trillion in assets globally.
Strong Investment Team and Capabilities
The company has 70 investment professionals with average tenure of 8.94 years and covers over 400 companies representing 80% of BSE 500 by market cap.
Pan-India Multi-Channel Distribution
The company maintains 130,296 MFDs including 120,748 IFAs and reaches 97.87% of India's pin codes with strong B-30 penetration of 23.16% of total MAAUM.
Robust Technology Infrastructure
The company processes 1.12 million transactions monthly with 94.29% digital execution rate and InvesTap app with 3.78 million registered users.
Strong Financial Performance
The company achieved revenue CAGR of 29.01% from ₹21,615.86 million in Fiscal 2023 to ₹35,977.57 million in Fiscal 2025 with profit after tax CAGR of 37.70%.
Risk factors
As stated in the offer document
Dependence on QAAUM and Management Fee Revenue
The company's revenue is primarily derived from management fees calculated as a percentage of QAAUM, which stood at ₹29,040.26 billion as of December 31, 2025. Any decline in QAAUM due to market volatility, investor redemptions, or shifts in composition from higher-fee to lower-fee products could significantly impact revenues and profitability.
Dependence on Indian Capital Markets Performance
The company's business is significantly dependent on Indian capital market performance, with close correlation between market returns and mutual fund industry growth. Any prolonged market downturns, increased volatility, or loss of investor confidence could result in QAAUM decline, reduced investor confidence, and higher redemptions.
Scheme Performance Risk and Investor Redemptions
Poor performance relative to benchmarks could lead to investor redemptions, particularly from institutional investors. As of December 31, 2025, 11 schemes with ₹1,220.91 billion QAAUM (15.20% of total mutual fund QAAUM) ranked in the bottom quartile based on three-year performance.
QAAUM and Revenue Concentration Risk
The company's top 5 schemes account for 43.41% of total mutual fund QAAUM and top 10 schemes account for 59.95% as of December 31, 2025. Any adverse developments affecting these concentrated schemes could have disproportionate impact on overall assets, revenues, and profitability.
Liquidity Risk in Debt and Money Market Schemes
The company faces liquidity risks in debt schemes with ₹1,766.36 billion QAAUM (14.13% of total). Inability to meet redemption requests due to insufficient liquid assets or inability to sell securities at reasonable prices could result in investor dissatisfaction and regulatory action.
Extensive Regulatory Compliance and SEBI Oversight
The company is subject to extensive SEBI regulations with new SEBI Mutual Funds Regulations 2026 effective April 1, 2026, introducing Base Expense Ratio framework and reduced fee caps. Non-compliance could result in regulatory penalties, suspension of registration, or operational restrictions.
Distribution Network Dependence and Channel Risk
The company relies on extensive distribution network including 130,296 MFDs and SBI's branch network. Any disruption in distribution channels, deterioration in relationships with key distributors, or regulatory changes affecting distributor compensation could adversely affect ability to attract investors.
Fee Pressure from Regulatory Changes
SEBI Mutual Funds Regulations 2026 will reduce management fee income through lower Base Expense Ratio caps and elimination of additional 5 basis points from exit loads. This will require the company to absorb certain expenses previously charged to schemes, reducing profitability.
Legal Proceedings and Regulatory Actions
The company and promoters face various legal proceedings with aggregate amounts of ₹1,485.53 million against the company and ₹1,132,197.25 million against promoters. Adverse outcomes could result in financial liabilities, operational restrictions, and reputational damage.
SBI Trademark Dependency and Intellectual Property Risk
The company does not own the 'SBI' trademark and pays royalty expenses of ₹381.50 million (5.19% of total expenses) for nine months ended December 31, 2025. Termination of trademark license agreement or inability to use SBI brand could significantly affect business prospects and financial performance.
Company Analysis
from DRHPSBI Funds Management Limited is an asset management company managing mutual fund schemes, portfolio management services, and alternative investment funds across equity, debt, and passive segments in India and internationally.
SBI Funds Management Limited (SBIFM) is an India-based asset management company incorporated in 1992 and converted to a public limited company in December 2021. As of March 31, 2026, the company managed approximately ₹29,461.05 billion in total quarterly average assets under management (QAAUM), comprising mutual funds (₹12,509.98 billion), portfolio management services and advisory (₹16,878.99 billion), and alternative investment funds (₹65.65 billion). The company generates revenue primarily through management fees from mutual fund schemes, which represented 96.47% of revenue from operations in Fiscal 2026 (₹43,894.88 million). SBIFM operates through multiple distribution channels including SBI's branch network, digital platforms, and a network of over 132,500 mutual fund distributors. The company is majority-owned by State Bank of India (60.44%) and Amundi India Holding (36.14%), with operations spanning India and international markets through subsidiaries in Mauritius and the GIFT City.
Objects of the Issue
- Offer for Sale - This is an Offer for Sale by Promoter Selling Shareholders (State Bank of India and Amundi India Holding). The proceeds will go to the Promoter Selling Shareholders, not to the Company. ₹97,953.21 million p.72
Issue Structure
- Total Issue
- 170,956,631 Equity Shares of face value of ₹1 each aggregating to ₹97,953.21 million
- Fresh Issue
- Not applicable - This is an Offer for Sale
- Offer for Sale
- 170,956,631 Equity Shares comprising 99,501,649 shares from State Bank of India (₹57,011.57 million) and 71,454,982 shares from Amundi India Holding (₹40,941.64 million)
- Price Band
- ₹545.00 per Equity Share (Floor Price) to ₹574.00 per Equity Share (Cap Price). Final Offer Price: ₹574.00 per Equity Share
- Lot Size
- 26 Equity Shares (minimum Bid Lot) and in multiples of 26 Equity Shares thereafter
- Face Value
- ₹1 per Equity Share
Business Model
SBIFM's business model is based on earning management fees calculated as a percentage of assets under management (AUM) in mutual fund schemes. Management fees represented 96.47% of revenue from operations in Fiscal 2026. Additional revenue streams include portfolio management advisory fees, alternative investment fund management fees, and other income. The company's profitability is directly linked to AUM levels and management fee rates, which are subject to regulatory caps prescribed by SEBI. Operating expenses are partially fixed in nature, including employee costs, technology infrastructure, and regulatory compliance costs.
Business Segments
SWOT Analysis
- • Market leader in passive products with 27.9% market share(p.39)
- • Second largest AMC by mutual fund QAAUM with 15.3% market share(p.47)
- • Strong brand recognition and distribution through SBI(p.61)
- • Diversified business model across multiple product categories(p.27)
- • Multi-channel distribution network with 132,519 distributors(p.41)
- • High digital transaction penetration of 34.1% of mutual fund QAAUM(p.43)
- • Significant dependence on SBI for distribution and brand(p.41)
- • High concentration in top 5 schemes representing 42.57% of mutual fund QAAUM(p.31)
- • Recurring SEBI inspection observations and compliance deficiencies(p.33)
- • Outstanding GST demand of ₹1,319.30 million related to ITC on distribution commission(p.53)
- • High employee attrition rate of 12.01% in Fiscal 2026(p.49)
- • 8.59% of schemes ranked in bottom quartile with 12.69% of ranked AUM(p.45)
- • Expansion in B-30 cities with low mutual fund penetration(p.63)
- • Growing SIP market with 3.49 trillion inflows in Fiscal 2026(p.37)
- • Industry growth at 20.5% CAGR from March 2021 to March 2026(p.65)
- • Expanding international opportunities through GIFT City and offshore mandates(p.63)
- • Emerging SIF platform with 28.2% market share in early stages(p.55)
- • Growing penetration with 61.4 million unique investors and only 4% of population(p.64)
- • Adverse capital market conditions reducing AUM and management fee income(p.30)
- • SEBI introduced Base Expense Ratio framework reducing TER caps by 10-15 basis points(p.32)
- • Rapid growth of passive schemes compressing margins with lower fee rates(p.40)
- • High foreign portfolio investor outflows affecting market liquidity(p.66)
- • Geographic concentration with Maharashtra accounting for 40.1% of industry AUM(p.65)
- • Increasing competitive intensity with market share of top 10 AMCs declining from 82.8% to 76.3%(p.47)
- • High concentration risk in top 5 distributors representing 25.26% of MAAUM(p.42)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| State Bank of India | Promoter/Promoter Selling Shareholder | 60.44% | 60.44% |
| Amundi India Holding | Promoter/Promoter Selling Shareholder | 36.14% | 36.14% |
| Amundi Asset Management | Promoter | 0% | — |
Leadership
Auto-extracted from the company's DRHP using AI, with each fact linked to its source passage (hover any row to see the quote & page). Provided for research only, not investment advice — verify against the official DRHP before relying on it.