#SBI #SBIFundsManagement #IPO #SBIFML #IndianStockMarket #Amundi #AssetManagement #ValueUnlock #MutualFundIPO #ChallaSreenivasuluSetty
Mumbai: The State Bank of India (SBI), India’s largest lender, announced today that its board has approved the sale of a 6.3% stake in its asset management arm, SBI Funds Management Limited (SBIFML), through an Initial Public Offering (IPO).
This major development marks a significant step in realizing the value of one of India’s leading financial institutions, with the IPO expected to be completed in 2026.
📈 Valuation & IPO Size
Market sources and analysts familiar with the matter suggest that SBI could target a valuation of around ₹1 lakh crore (or ₹1.0 to ₹1.2 lakh crore) for its asset management business.
- This potential valuation would make it one of the largest-ever listings for an Asset Management Company (AMC) in India.
- The overall IPO size, based on a 10.0013% stake dilution at the targeted valuation, is estimated to be in the range of ₹15,700 crore to ₹21,700 crore.
- The IPO will make SBIFML the third SBI subsidiary to be listed, following SBI Cards and SBI Life Insurance.
🤝 The Joint Divestment Plan
The IPO is a joint initiative with SBIFML’s co-promoter, the French fund management firm Amundi.
| Promoter | Divestment Details | Pre-IPO Stake (Approx.) | Post-IPO Stake (Approx.) |
| State Bank of India (SBI) | 32.06 million equity shares (6.3007%) | 61.9% | Retains Majority Stake |
| Amundi India Holding | 18.83 million equity shares (3.7006%) | 36.4% | – |
| Total IPO Stake | 50.89 million equity shares (10.0013%) | – | – |
The IPO Framework Agreement is scheduled to be executed on November 10, 2025.
🏆 Market Leader’s Position
SBIFML is the largest Asset Management Company (AMC) in the country. Key financial and market metrics underscore its strong position:
- Market Share: 15.55%
- Quarterly Average Assets Under Management (QAAUM): ₹11.99 lakh crore (Q2FY2025-26)
- AUM under Alternates: ₹16.32 lakh crore (as of September 30, 2025)
- FY25 Total Income: ₹4,231 crore
🗣️ The Rationale for Listing
Shri Challa Sreenivasulu Setty, SBI Chairman, confirmed the strategic move, noting the IPO will not only maximize value for stakeholders but also broaden market participation and lead to increased visibility for the company.
Valérie Baudson, CEO of Amundi, highlighted that the IPO will unlock the value jointly created by SBI and Amundi, who will continue their long-term partnership in the fast-growing Indian market.
#SBI #SBIFundsManagement #IPO #SBIFML #IndianStockMarket #Amundi #AssetManagement #ValueUnlock #MutualFundIPO #ChallaSreenivasuluSetty
