SBI Funds Management Secures ₹2,663 Cr From Anchor Investors; IPO Opens Tuesday

SBI Funds Management has raised ₹2,663 crore from anchor investors with the issue attracting strong participation from global and domestic institutional investors.

The company's ₹9,795-crore initial public offering (IPO) opens for subscription on Tuesday.

The asset management firm allocated 4,63,93,095 equity shares to 129 funds at ₹574 per share, the upper end of the price band, according to a stock exchange filing issued late on Monday.

The anchor book saw participation from global investors such as GIC, Abu Dhabi Investment Authority, Capital World Investors, BlackRock, Fidelity Management & Research, Goldman Sachs Asset Management and Norges Bank, alongside leading domestic institutions like Life Insurance Corporation of India (LIC), HDFC Mutual Fund (MF), ICICI Prudential MF, Nippon India MF and HDFC Life Insurance.

Among the largest allocations, HDFC MF and ICICI Prudential MF received shares worth ₹200 crore each, while Capital World Investors, GIC and LIC were allotted shares worth ₹180 crore each.

Domestic mutual funds accounted for 37% of the anchor book, with 23 mutual funds investing through 70 schemes.

The IPO will open for public subscription on July 14 and close on July 16. The price band has been fixed at ₹545-574 per equity share, with investors able to bid for a minimum of 26 shares and in multiples thereafter.

The public issue is entirely an offer for sale (OFS) of up to 17.09 crore equity shares by existing shareholders State Bank of India (SBI) and Amundi, aggregating up to ₹9,795 crore at the upper end of the price band.

SBI will sell a 6.3% stake, while Amundi will divest 3.7%.

Post listing, SBI's holding will decline to 55.46% from 61.76%, while Amundi's stake will reduce to 32.56%.

The issue size was earlier proposed at ₹11,693 crore but was subsequently reduced after the company completed a pre-IPO placement of about ₹1,880 crore.

At the upper end of the price band, SBI Funds Management is valued at around ₹1.2 lakh crore.

Established in 1987, SBI Funds Management is India's largest asset management company by quarterly average assets under management (QAAUM), with ₹12.51 lakh crore in mutual fund QAAUM and a 15.3% market share as of March 31, 2026.

Including portfolio management services and alternative investment mandates, the company managed total QAAUM of ₹29.46 lakh crore at the end of FY26.