The State Bank of India (SBI), on Thursday, announced it would initiate an Initial Public Offering (IPO) for its successful mutual fund subsidiary, SBI Funds Management Limited, commonly known as SBIFML. SBI’s Executive Committee of the Central Board (ECCB) approved the plan on November 6, 2025. It plans to sell 3,20,60,000 equity shares representing 6.3% of the paid-up capital of the bank.
The offer is a joint move with SBI's partner in the venture, Amundi India Holding. Amundi also intends to participate in the IPO, offering 1,88,30,000 equity shares, which would be equivalent to a 3.7% stake.
This means that, jointly, 10% of its equity would be offered to the public through an IPO. Currently, SBI holds 61.91% in the AMC, while Amundi holds 36.36%.
IPO details and timeline
A date for the public issue has not been determined, though indications are that the IPO would be completed sometime in 2026. According to reports, the IPO framework agreement is set to be inked by November 10, 2025, as cited on Times Now reports.
The move is part of SBI's plan to unlock value from its subsidiaries. SBI Funds Management will be the third major subsidiary to be listed on the Indian stock exchange, after the successful listings of SBI Life Insurance and SBI Cards.
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A market leader
SBI Funds Management is India's biggest AMC by a large margin. It is leading the market at 15.55%, as of September 30, 2025. It manages a massive Quarterly Average Assets Under Management (QAAUM) of ₹11.99 trillion and an additional ₹16.32 trillion in alternative assets.
As mentioned in ET Now, SBI Chairman Challa Sreenivasulu Setty said, “SBI Funds Management Limited (SBIFML) will be the third subsidiary of SBI to be listed after SBI Cards and SBI Life Insurance. Considering SBIFML’s sustained strong performance and market leadership over the years, it is considered an opportune time to launch the IPO process.
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