SBI and Amundi plan to offload 5.09 crore shares in SBI Funds Management IPO via an offer for sale, board set a 12‑month listing timeline.
SBI Mutual Fund has begun scouting for merchant bankers and other intermediaries for the SBI Funds Management IPO, with the boards of State Bank of India (SBI), Amundi and SBIFML approving a 12‑month roadmap to tap the market, the SBI chairman said.
SBI Funds Management IPO: Offer Structure & Quantum
SBI Funds Management IPO is planned as a pure offer for sale by the two promoters. Last month, SBI cleared the sale of 3,20,60,000 shares—equal to 6.30% of SBIFML’s equity, while Amundi India Holding will divest 1,88,30,000 shares, or 3.7006%. In all, 5,08,90,000 shares representing 10.00% are proposed to be listed, according to reports.
“We are very seriously working on that… we have started the process of identifying the merchant bankers and other service providers,” SBI Chairman C S Setty, who also chairs SBIFML. He added that the approvals envisage a 12‑month timeline to hit the market.
Scale, Market Position & Ownership
SBIFML—jointly owned by SBI (61.98%) and Paris‑based Amundi (36.40%)—managed assets of around INR 12 lakh crore as of September 2025. As per industry data, the fund house commanded a market share of 15.55% with Q2 FY26 quarterly average AUM at INR 11.99 lakh crore, alongside INR 16.32 lakh crore under alternate funds as on 30 September 2025.
Timeline & Wider AMC Backdrop
The move revives SBI’s plan to list its asset management arm after an earlier attempt in 2021 did not proceed. Reuters has reported that the offer could be completed in 2026, with the promoters targeting a fresh valuation exercise and banker appointments ahead of filings.
The development also comes amid busy primary markets for asset managers. ICICI Prudential Asset Management’s INR 10,602 crore IPO opens on December 12. Recently, other IPOs from this sector have also been listed, specifically Canara Robeco AMC (INR 1,326 crore, listed with approximately ~13% returns) and Groww (~INR 5,572 crore, listed with 31% gains), underscoring strong investor interest in the category this month.
Outlook
Brokerage commentary has turned constructive on listed Indian AMCs, with Nomura recently noting that the sector’s valuation premium could sustain on higher growth and profitability, even as penetration remains low. However, proposed fee‑structure changes from SEBI last month and evolving cost caps remain a key variable for profitability across the industry, analysts have cautioned.
SBIFML is expected to float requests for proposals and appoint merchant bankers, legal counsel and other service providers before filing its draft prospectus. The company has not disclosed issue pricing or an exact launch window; timelines are subject to market conditions and regulatory clearances, the chairman indicated.
SBI Funds Management IPO: Highlights
- Promoters to sell 10.00% stake via OFS; SBI 6.30%, Amundi 3.70%.
- SBI’s tranche: 3.20 crore shares; Amundi’s tranche: 1.88 crore shares.
- Boards have okayed a 12‑month timeline to list SBIFML.
- SBIFML AUM: ~INR 12 lakh crore (Sep 2025); Q2 FY26 QAAUM INR 11.99 lakh crore; market share 15.55%.
- Ownership: SBI 61.98%, Amundi 36.40%.
- Listing likely in 2026, subject to approvals and market conditions.
- Banker selection, RFPs and DRHP filing are the next milestones.
With the OFS structure for the promoters firmed up and mandate pitches underway, SBI Mutual Fund’s listing plan enters execution mode. Scale, flows, and brand heft provide a supportive backdrop, but valuation, regulatory proposals and market conditions will shape the final contours and timing of the IPO.
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