India’s largest asset management company, SBI Funds Management, has opened its ₹9,813 crore IPO for subscription. The public issue opened on July 14 and will remain open until July 16.
Earlier, the company raised around ₹1,655 crore from 30 investors through a pre-IPO placement. After this, the IPO size was reduced from ₹11,693 crore to ₹9,813 crore.
IPO is an Offer for Sale (OFS)
This IPO is completely an Offer for Sale (OFS) by State Bank of India (SBI) and Amundi India Holdings.
This means the money raised from the IPO will go to the existing shareholders selling their stake. SBI Funds Management will not receive any funds from the issue.
Brokerages Recommend ‘Subscribe’
Several brokerage firms have given a positive view on the IPO.
Anand Rathi has given a ‘Subscribe’ rating. The brokerage says SBI Funds Management is the market leader with a 15.3% share of the mutual fund industry’s average assets under management (QAAUM) as of March 2026.
It also praised the company’s asset-light business model and its strong presence in mutual funds, PMS, AIFs, SIFs, and advisory services.
Swastika InvestSmart has also recommended subscribing to the IPO. According to the brokerage, the company has strong financial performance with a 43.02% Return on Net Worth (RoNW) and an 81.56% EBITDA margin, making it an attractive investment.
Arihant Capital has given a ‘Subscribe for the Long Term’ rating. It believes the IPO is reasonably priced and backed by the company’s strong brand, healthy profits, and solid financial ratios.
Price Band and Minimum Investment
The IPO price band has been fixed at ₹545 to ₹574 per share.
Investors need to apply for at least 26 shares, which means the minimum investment at the upper price band is ₹14,924.
Latest GMP
According to InvestorGain, the Grey Market Premium (GMP) of the IPO is currently ₹100.
If this trend continues, the shares could list at around ₹674 per share (issue price of ₹574 + GMP of ₹100). However, GMP changes regularly and should not be considered a guaranteed indicator of the listing price.
