SBI Funds Management plans $1.2B IPO launching week of July 13

India’s biggest asset management firm is heading for the public markets. SBI Funds Management Ltd. is preparing to launch an initial public offering worth between $1.2 billion and $1.5 billion, with the listing expected to kick off during the week of July 13, 2026.

The deal would value SBI Funds Management at roughly $12.3 billion, or about 1,17,000 crore rupees.

How the deal is structured

The entire IPO is structured as an offer-for-sale, meaning existing shareholders are cashing out a portion of their holdings rather than injecting fresh capital into the business.

The two sellers are State Bank of India, which currently holds a 61.76% stake, and France’s Amundi Group, which owns 36.26%. Together, they plan to offload roughly a 10% stake in the company, amounting to approximately 20.37 crore shares.

India’s Securities and Exchange Board, known as SEBI, approved the draft red herring prospectus on June 12, 2026. The final red herring prospectus and pricing details are expected to land around July 2 to 3, giving investors roughly a week and a half to digest the numbers before the subscription window opens.

Marketing efforts have been underway since late May 2026, when the company kicked off a series of roadshows to drum up institutional interest. By the time the IPO goes live, SBI Funds Management will have spent nearly two months pitching itself to potential buyers.

What investors should watch

The most obvious thing to monitor is the price band, expected to be announced in early July. That number will determine whether the $12.3 billion valuation target holds or whether the company and its bankers need to adjust expectations based on order book demand.

An all-OFS structure means no dilution for post-IPO shareholders, but it also means the company itself receives zero proceeds from the offering.

State Bank of India at 61.76% and Amundi at 36.26% together control nearly 98% of the company. Even after selling a combined 10% stake, they will still dominate the shareholder register.

The roadshows that began in late May should provide some early signals on institutional demand. If anchor investor allocation, typically announced a day before the IPO opens, comes in strong, that’s a reliable indicator of oversubscription.

Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.