India’s largest asset management company, SBI Funds Management Ltd, has received approval from the market regulator for its proposed initial public offering (IPO).
The IPO is expected to be worth around ₹13,000 crore, making it one of the biggest listings in the Indian asset management industry.
What Is the SBI Mutual Fund IPO?
The proposed public issue is entirely an Offer for Sale (OFS).
- Total shares on offer: Up to 20.37 crore equity shares
- Fresh issue component: None
- Estimated issue size: ₹13,000 crore
- Expected launch: Next month
Since it is an OFS, the company itself will not receive any fresh capital from the IPO.
Promoters to Reduce Their Stake
SBI Funds Management is a joint venture between:
- State Bank of India – 61.98%
- Amundi – 36.40%
Both promoters will sell part of their holdings through the public issue.
India’s Largest Asset Manager
As of December 2025, SBI Funds Management reported:
- Quarterly Average Assets Under Management (QAAUM): ₹12.5 lakh crore
- Largest mutual fund company in India.
- One of the fastest-growing AMC businesses.
The company has a strong presence across equity, debt, hybrid, ETF, and passive investment products.
Historical Significance
SBI Mutual Fund was established in 1987 and became the first non-UTI mutual fund in India.
Over the years, it has built a large investor base and extensive distribution network across the country.
Why This IPO Matters
The listing is significant because:
- India’s largest mutual fund house will become publicly traded.
- Investors can participate in the growth of the asset management industry.
- It highlights strong investor confidence in the financial services sector.
- The IPO may become one of the biggest financial-sector listings of 2026.
Peer Comparison
After listing, SBI Funds Management will join other listed asset management companies such as:
- HDFC Asset Management Company
- Nippon Life India Asset Management
- UTI Asset Management Company
- Aditya Birla Sun Life AMC
- Shriram Asset Management Company
Merchant Bankers Managing the Issue
The IPO is being managed by a consortium of investment banks, including:
- Kotak Mahindra Capital
- Axis Capital
- BofA Securities India
- HSBC Securities and Capital Markets India
- ICICI Securities
- Jefferies India
- JM Financial
- Motilal Oswal Investment Advisors
- SBI Capital Markets