State Bank of India (SBI) provided an update regarding the proposed Initial Public Offering (IPO) of its subsidiary, SBI Funds Management Limited (SBIFML). SBI is offering up to 6.3007% of its paid-up equity capital in SBIFML through the offer for sale. Following an increase in SBIFML’s equity base due to bonus shares and ESOPs, the number of shares offered by SBI has been revised significantly from the initial indication in November 2025.
Update on SBIFML Initial Public Offering (IPO)
This disclosure pertains to the ongoing process for the sale of a stake in SBI Funds Management Limited (“SBIFML”), a subsidiary of State Bank of India, via an Initial Public Offering (IPO). SBIFML has filed its draft red herring prospectus on March 19, 2026.
IPO Details and Share Allocation
The proposed IPO involves the offer for sale of up to 203,709,239 Equity Shares, representing up to 10.0013% of SBIFML’s paid-up equity share capital.
- SBI’s Offer for Sale: Up to 128,334,397 Equity Shares, amounting to 6.3007% of the paid-up equity share capital.
- Amundi India Holding’s Offer for Sale: Up to 75,374,842 Equity Shares, amounting to 3.7006% of the paid-up equity share capital.
Revision of Share Offering by SBI
The quantum of shares offered by SBI has been adjusted. Previously, SBI intended to offer up to 3,20,60,000 Equity Shares (representing 6.3007% as of November 6, 2025). Due to an increase in SBIFML’s equity share capital (resulting from bonus share issuance and ESOP exercise), the revised offer for sale by SBI is now up to 12,83,34,397 Equity Shares, maintaining the 6.3007% stake based on the current paid-up capital.
Financial Contribution of SBIFML (FY 2024-25)
As per the financial details disclosed for the last financial year (FY 2024-25):
- Total Income: Rs 4,230.92 Cr (which represented 0.64% of the total income of the SBI Group).
- Reserve & Surplus: Rs 5,108.56 Cr (which represented 1.19% of the total reserve & surplus of the SBI Group).
Transaction Parameters
The IPO will proceed through the book-building process in accordance with applicable capital market regulations. The final Price Band and Offer Price will be determined closer to the IPO date. The entire transaction remains contingent upon receiving all necessary regulatory approvals and favorable market conditions. The agreement date for the sale is currently listed as Not applicable, as the process is being executed via a public offering.
Source: BSE
