SBI To Rake In ₹13,655 Cr From AMC, NSE Stake Sale

State Bank of India (SBI) is set to receive around ₹13,655 crore from the partial sale of its stakes in SBI Funds Management and the National Stock Exchange (NSE), according to an Economic Times report. The proceeds are expected to strengthen the bank's capital position, support its provisioning needs, and back loan growth as SBI aims to keep its return on assets (RoA) above 1%.

SBI is diluting a 6.3% stake in its asset management arm through an initial public offering (IPO) worth ₹9,813 crore, which opens on Tuesday. Earlier this month, the bank had already raised ₹1,655 crore through a pre-IPO placement. Even at the lower end of the ₹545 to ₹574 per share price band, SBI is expected to earn about ₹7,000 crore more from the issue, documents in the public domain showed.

Later this year, SBI is also expected to be part of the NSE's IPO, which could be India's largest public issue at around ₹30,000 crore. SBI is the single largest selling shareholder in the offer, planning to sell 24.75 million shares. While the price band for the issue has not yet been fixed, the bank is expected to receive at least ₹5,000 crore from the offer for sale, as per media reports.

Together, the two share sales are expected to add about ₹13,655 crore to SBI's profit and loss account this year, the report added. Stake sales of this kind are routed through a bank's other income, which adds to its net worth and, in turn, its capital base.

As of March 2026, SBI's capital adequacy ratio stood at 15.40%, above the 12.30% required of the bank, even after accounting for the extra buffers applicable to systemically important banks, the report said.

With capital levels already comfortable, the bank may choose to front-load provisions for the initial years under the expected credit loss (ECL) framework, using the additional funds from the stake sales, ET reported.

ECL provisions require banks to set aside money based on the probability of loan defaults. The RBI has allowed banks to spread these provisions over four years, starting from the financial year ending March 2028. According to the report, SBI may choose to make these provisions earlier than required, given the windfall from the stake sales.