SBI's third major listing confirmed! SBI Funds Management IPO to launch:

News Topical, Digital Desk : The country's largest bank, State Bank of India (SBI), has decided to sell a stake in its asset management company, SBI Funds Management Ltd. (SBIFML). The company will sell 6.3% of its equity through an initial public offering (IPO), which has been approved by the board.
This IPO will be a joint venture between SBI and Amundi India Holding, offering a total of 10% stake (5.09 crore shares). This will be SBI's third listing, after SBI Life and SBI Cards.

What is included in the IPO?
SBI will sell its 3.20 crore shares (6.3%), while foreign partner Amundi India Holding will sell its 1.88 crore shares (3.7%). Thus, a total of 10.0013% equity will be offered in the market. The IPO process will be completed in 2026 after receiving regulatory approval.

Company Strengths SBI Funds Management is the country's largest asset management company, with a market share of 15.55% and a total AUM of ₹11.99 lakh crore in Q2FY26. Its alternate investments have an AUM of ₹16.32 lakh crore. The company was formed in 1987 under the sponsorship of SBI – and was India's first non-UTI mutual fund. In 1992, SBI Funds Management was incorporated as a 100% subsidiary of SBI.

SBI Chairman's Statement SBI Chairman Challa Srinivasulu Sethi said, "SBI Funds Management will become our third listed subsidiary. Given its strong performance and market leadership, this is the right time to launch an IPO. This will provide an opportunity for existing investors to unlock value, and increase accessibility and awareness of mutual fund products for the general investor."

Amundi's View Amundi CEO Valerie Bodson said, "SBI Funds has established leadership in India's asset management sector. This IPO will unlock the value created by SBI and Amundi together, and further strengthen our long-standing partnership in a fast-growing market like India."

What this move means for investors: This move further advances the SBI Group's value unlocking model. The listings of SBI Life Insurance and SBI Cards have already delivered impressive returns to shareholders. Now, the group's third largest company, SBI Funds Management, is set to enter the stock market through an IPO—a new opportunity for investors to create long-term wealth.

What does SBI Funds Management Ltd do ? SBI Funds Management Ltd (SBI Funds Management Ltd) is the country's largest mutual fund company (Asset Management Company - AMC). It was established by the State Bank of India (SBI) in 1987. SBI holds a 63% stake in the company. The remaining 37% is held by Amundi Asset Management of France. This company manages mutual fund schemes, collecting money from investors and investing it in shares, bonds, and other investment instruments to generate better returns. SBI Funds Management offers a variety of schemes tailored to the needs of different investors. Equity Funds Funds) Debt Funds (bond and safe investment funds) Hybrid Funds (mix of shares + bonds) Liquid Funds (for short term investments) ETFs and Tax Saving Funds