SBI Funds Management IPO
SBI Funds Management LtdMainboard
This IPO has listed.
- Open date
- 14 Jul 2026
- Close date
- 16 Jul 2026
- Min. Investment
- ₹14,924
- Lot Size
- -
- Fresh Issue
- ₹-
- Price Range
- -
- Face Value
- -
- IPO Document
- -
Subscription rate
- Qualified Institutional Buyers140.11x
- Non-Institutional Investors22.51x
- Retail-Individual Investors3.60x
- Total41.66x
Schedule
- Completed: IPO open date14 Jul 2026
- Completed: IPO close date16 Jul 2026
- Completed: Allotment date17 Jul 2026
- Completed: Funds unblock or debit20 Jul 2026
- Completed: Tentative listing date21 Jul 2026
About
Promoter shareholding in SBI Funds Management Ltd, before and after the issue.
| Promoter | Pre-issue shares | Pre-issue % | Post-issue shares | Post-issue % |
|---|---|---|---|---|
| State Bank of India | 1,23,11,67,252 | 60.32% | 1,13,16,65,603 | 55.44% |
| Amundi India Holding | 73,60,80,140 | 36.06% | 66,46,25,158 | 32.56% |
Financials of SBI Funds Management IPO
| Key Performance Indicators | Mar 2024 | Mar 2025 | Mar 2026 |
|---|---|---|---|
| Operating Revenue | - | - | - |
| Other Income | - | - | - |
| Total Income | 3423.91 | 4234.53 | 4973.94 |
| Total Expenses | 752.46 | 871.81 | 970.62 |
| Profit Before Tax | - | - | - |
| Total Profit | 2072.78 | 2540.15 | 3067.38 |
SBI Funds Management IPO Strengths & Risks
- Largest asset management company in India in terms of mutual fund assets under management, paragraph 1, page 209), benefitting from strong operating leverage driven by scale and growth.
- Market-leading SIP franchise with a 15.5% market share by live SIP count and strong investor stickiness.
- Dual Parentage - Integration of State Bank of India's domestic franchise with Amundi's global expertise.
- Process-driven investment framework with demonstrated track record of product innovation and consistent investment performance.
- Well-diversified, Pan-India multi-channel distribution infrastructure.
- Robust technology infrastructure and data-driven investor engagement.
- Disciplined governance and risk management underpinning long-term stewardship.
- Risks Relating to the Business: The company's revenues and profitability is directly linked to its quarterly average assets under management ("QAAUM"), and any material decline or changes in the composition of the company's QAAUM due to market movements, redemptions, or other factors could significantly impact its financial performance.
- Risks Relating to the Business: Adverse capital market conditions and downturns could reduce the company's AUM and management fee / TER income; its business is further exposed to liquidity risks due to such downturns which in turn could have a spiral/compounding effect on both its equity and debt/money market schemes through higher redemptions and lower SIP inflows, which can accelerate AUM declines and may have a material adverse effect on the company's business, financial condition, results of operations and cash flows.
- Risks Relating to the Business: A portion of the company's mutual fund QAAUM and revenue from mutual fund operations is concentrated in a limited number of schemes, and any adverse developments affecting these schemes could materially affect its business.
- Risks Relating to the Business: The company is subject to strict regulatory requirements and prudential norms; its failures to comply with such laws, regulations and norms, including the SEBI (Mutual Funds) Regulations and guidelines thereunder, may have an adverse effect on the company's reputation, registration, business, financial condition, results of operations and cash flows.
- Risks Relating to the Business: The company is subject to extensive regulation by SEBI and other regulatory authorities. Changes in regulations, failures to comply with regulatory requirements, non-compliance with SEBI's observations made during inspections or adverse outcomes from SEBI inspections could adversely affect its business.
- Risks Relating to the Business: 22.82%, 23.04%, and 21.64% of the company's mutual fund AUM as at March 31, 2026, March 31, 2025, and March 31, 2024, respectively were sourced from B-30 cities, which may exhibit higher redemption volatility during market downturns and could adversely affect its AUM, revenues and results of operations.
- Risks Relating to the Business: The company's Jan Nivesh SIP product, targeted at first-time and low-ticket investors, may experience higher discontinuance rates, which could adversely affect its SIP persistency metrics, recurring inflows and AUM.
- Risks Relating to the Business: Changes to the regulatory framework governing mutual fund fees and expenses, including the introduction of the Base Expense Ratio framework and reduction in TER caps, directly reduce the company's management fee and TER income, and the ongoing increase in the proportion of passive schemes within its AUM mix which carry significantly lower management fees than actively managed schemes further compresses the company's operating margins and profitability.
- Risks Relating to the Business: The company faces risks relating to the growth of passive investment products, which typically have lower fees and could impact its actively managed QAAUM and reduce the company's profitability.
- Risks Relating to the Business: The company has declared dividends in the past, including at significantly higher levels in Fiscal 2026 compared to prior years. However, there can be no assurance regarding its ability to pay dividends in the future or to maintain dividend payouts at similar levels.
- Risks Relating to the Business: The company is dependent on its distribution network; as at March 31, 2026, 57.68% of the company's mutual fund MAAUM is sourced through its direct channel1 and the company's top 5 distributors account for 25.26% of its total mutual fund MAAUM, and any disruption in distribution channels or deterioration in relationships with key distributors could adversely affect the company's ability to attract and retain investors.
- Risks Relating to the Business: The company and certain of its Promoters is subject to various legal proceedings, and adverse outcomes could result in financial liabilities, operational restrictions, and reputational damage.
- Risks Relating to the Business: A significant number of the company's schemes has underperformed relative to benchmarks and peer schemes in the past three years, which could lead to investor redemptions, difficulty in retaining and increasing its QAAUM, loss of market share, and reputational damage.
- Risks Relating to the Business: The company's investment management agreement with the Trustee Company of SBI Mutual Fund is subject to termination, and loss of these agreements would eliminate its primary source of revenue.
- Risks Relating to the Business: The company's Promoters, SBI and Amundi Asset Management, certain Promoter Group entities, and some of its Group Companies is regulated entities. Any adverse observations on any of these entities could affect the business, results of operations, financial condition, and cash flows of the Company.
- Risks Relating to the Business: The company faces competition from other asset management companies and alternative investment products, which could adversely affect its market share, pricing, and profitability.
- Risks Relating to the Business: The company does not own the "SBI" trademark or the "SBI FUNDS MANAGEMENT LIMITED" logo, and termination of the SBI Trademark License Agreement with State Bank of India or any inability to use the "SBI" name or the "SBI FUNDS MANAGEMENT LIMITED" logo may materially and adversely affect its business, prospects, financial condition, and results of operations. Further, the company's logo "SBI FUNDS MANAGEMENT LIMITED" is not registered under the Trade Marks Act, 1999, accordingly, its may faces risks of third parties using the company's logo, and any failures to protect its intellectual property rights may adversely affect the company's competitive business position, financial condition and profitability.
- Risks Relating to the Business: The company is dependent on its Key Management Personnel, Senior Management, fund managers and investment team, and the loss of their services or high employee attrition could adversely affect the company's business.
- Risks Relating to the Business: The company is exposed to operational risks, including technology failures, cybersecurity breaches, business continuity disruptions, fraud, misconduct, and errors in transaction processing or valuation.
- Risks Relating to the Business: The company uses and may use additional artificial intelligence and machine learning technologies in its business operations, which could expose the company to model risk, data privacy issues, regulatory uncertainty, and reputational damage if such technologies malfunction or produce biased outcomes.
- Risks Relating to the Business: The company is dependent on third-party service providers for critical functions, and any failures or disruption in their services could adversely affect its operations.
- Risks Relating to the Business: The company faces risks relating to investor grievance redressal, and delays or failures in addressing investor complaints could result in regulatory action and reputational damage.
- Risks Relating to the Business: The company is dependent on various licences, registrations, and regulatory approvals to conduct its business, and failures to maintain or renew these could disrupt the company's operations.
- Risks Relating to the Business: The company has contingent liabilities that is not provided for in its financial statements, and materialisation of these liabilities could adversely affect the company's financial condition.
- Risks Relating to the Business: The company faces risks relating to scheme closures, suspensions or mergers that could affect its AUM and investor relationships.
- Risks Relating to the Business: The company is unable to trace certain of its historical records. The company cannot assure you that no legal proceedings or regulatory actions will be initiated against the Company in the future in relation to the untraceable filings and corporate records, which may impact its financial condition and reputation.
- Risks Relating to the Business: The company is exposed to risks relating to its international subsidiaries in Mauritius and GIFT City.
- Risks Relating to the Business: The company faces risks relating to its Portfolio Management Services business, including regulatory compliance, performance expectations, and potential conflicts with the company's mutual fund business.
- Risks Relating to the Business: The company has launched a Specialised Investment Fund platform, which is a relatively new product category in India, and faces risks relating to regulatory uncertainty, investor acceptance, and operational complexity.
- Risks Relating to the Business: The company's business is dependent on maintaining a positive relationship with the Trustee Company of SBI Mutual Fund, and any disagreements, conflicts, or adverse trustee directions could disrupt its operations and adversely affect the company's business.
- Risks Relating to the Business: The company is subject to an outstanding GST demand of Rs. 1,319.30 million (including penalty) which, if decided adversely, could impact its financial condition.
- Risks Relating to the Business: The company is dependent on leased premises for its branch network, and inability to renew leases or adverse changes in lease terms could disrupt the company's operations.
- Risks Relating to the Business: The company faces risks relating to delays in payment of statutory dues and compliance with tax deduction at source requirements.
- Risks Relating to the Business: The company's insurance coverage may not be adequate to cover all potential losses, and its may faces uninsured or underinsured losses that could adversely affect the company's financial condition.
- Risks Relating to the Business: The company's business depends substantially on its brand reputation and investor confidence, and the company is exposed to risks from negative publicity and adverse media coverage, as well as from its media campaigns and digital initiatives not achieving the desired outcomes.
- Risks Relating to the Business: The company may not be able to fully comply with anti-money laundering, know-your-client and anti-terrorist financing rules and regulations, which could result in regulatory scrutiny, criminal and regulatory fines, penalties and severe reputational damage.
- Risks Relating to the Business: The company faces risks relating to conflicts of interest arising from its business relationships with related parties, and transactions with associates.
- Risks Relating to the Business: Bombay Rayon Fashions Limited and SKS Ispat and Power Limited has been exempted from being identified as members of the Promoter Group for the purposes of the Offer pursuant to the letter received by the Company from SEBI dated April 24, 2026 and bearing reference number HO/49/11/11(136)2026-CFD-RAC-DIL2.
- Risks Relating to the Business: SBI and Amundi India Holding will continue to retain significant shareholding and control after the Offer, and their interests may differ from those of minority shareholders.
- Risks Relating to the Business: Certain of the Company's Promoters, Directors, Key Managerial Personnel and members of Senior Management may have interests in the Company in addition to their remuneration and reimbursement of expenses.
- Risks Relating to the Business: Certain of the company's Group Companies and members of its Promoter Group operates in a similar line of business, which may lead to competition with these entities and could potentially result in a loss of business opportunity for the Company.
- Risks Relating to the Business: The company's business benefits from its association with SBI, and any changes in the company's relationship with SBI or adverse developments affecting SBI's reputation could impact its business.
- Risks Relating to the Business: This is an Offer for Sale by the company's Promoter Selling Shareholders, and its will not receive any proceeds from the Offer.
- Risks Relating to the Business: In terms of the SEBI Merchant Bankers Regulations SBI Capital Markets Limited, one of the Book Running Lead Managers to the Offer, is an associate of the Company and State Bank of India, one of the Promoter Selling Shareholders.
- Risks Relating to the Business: The average cost of acquisition of Equity Shares by the company's Promoter Selling Shareholders may be less than the Offer Price.
- Risks Relating to the Business: The company faces execution risks in implementing its growth strategies, and may not achieve anticipated benefits or may incur higher costs than expected.
- Risks Relating to the Business: The company may not be able to successfully launch new products or scale new business lines, and costs incurred may not be recovered if products underperform or regulatory approvals are delayed.
- Risks Relating to the Business: The company's debt and money market schemes is exposed to interest rate, maturity and liquidity risks, and any adverse movement in interest rates or mismatch between portfolio maturities and investor redemption patterns could adversely affect scheme NAVs, trigger higher redemptions and reduce its AUM and management fee income.
- Risks Relating to the Business: This Red Herring Prospectus contains information from third parties, including an industry report prepared by an independent third-party research agency, CRISIL Intelligence, which the company has commissioned and paid for to confirm its understanding of the company's industry exclusively in connection with the Offer.
- Risks Relating to the Business: The Indian mutual fund industry faces structural challenges including low penetration, geographic concentration, sensitivity to market conditions and regulatory changes affecting fees and product attractiveness, any of which could constrain the company's growth and adversely affect its margins and profitability.
- Risks Relating to the Business: The Offer Price, and price-to-earnings ratio based on the Offer Price of the Company, may not be indicative of the market price of the Company on listing or thereafter.
- Risks Relating to the Business: The company's financial statements is prepared in accordance with Indian Accounting Standards, which differ in certain respects from IFRS and US GAAP, and its present certain non-GAAP financial measures that may not be comparable to similar measures used by other companies.
