Summary of this article
SBI Funds Management IPO subscription reached 4.08 times on Day 3, led by strong NII demand
GMP held at Rs 92, indicating a 16 per cent estimated listing premium
Allotment of shares is due on July 17, while the listing date is July 21
The Rs 9,813-crore initial public offering (IPO) of SBI Funds Management continued to draw healthy investor interest on the final day of bidding, led by strong demand from non-institutional investors (NIIs) and shareholders. The public issue, which opened for subscription on July 14, will close on July 16.
In the grey market, the premium remained largely unchanged, indicating expectations of a positive listing, although grey market premiums (GMPs) are unofficial and should not be considered a guarantee of listing gains.
SBI Funds Management IPO Subscription Status Day 3
At 10:42 AM on July 16, the SBI Funds Management IPO had been subscribed 4.08 times. Investors had bid for 50.79 million shares against the 12.46 million shares on offer.
Among investor categories, the non-institutional investor (NII) segment saw the strongest demand, with subscriptions reaching 10.78 times. Within this category, the big NII (bNII) portion was subscribed 12.19 times, while the small NII (sNII) segment was booked 7.95 times.
The retail individual investor (RII) portion was subscribed 2.02 times, while the qualified institutional buyer (QIB) category, excluding anchor investors, was subscribed 2.25 times. The employee quota received bids for 2.72 times the shares reserved, while the shareholder category was subscribed 5.37 times.
SBI Funds Management IPO: Price Band And Lot Size
SBI Funds Management has fixed the IPO price band at Rs 545-574 per share.
The minimum application size for retail investors is one lot comprising 26 shares, requiring an investment of Rs 14,924 at the upper price band. Small NIIs need to apply for at least 14 lots (364 shares), amounting to Rs 2.09 lakh, while the minimum application size for big NIIs is 68 lots (1,768 shares), requiring an investment of around Rs 10.15 lakh.
Eligible employees are being offered a discount of Rs 54 per share.
SBI Funds Management IPO GMP Today
The latest SBI Funds Management IPO GMP stood at Rs 92 per share as of 8:30 am on July 16, unchanged from the previous day.
Based on the upper end of the price band at Rs 574, the shares are estimated to list around Rs 666 apiece, implying a potential listing gain of about 16.03 per cent. The GMP has moderated from Rs 140 seen earlier this month but has remained in the Rs 88-92 range since the IPO opened.
SBI Funds Management IPO Key Dates
The IPO closes for subscription on July 16, while the basis of allotment is expected to be finalised on July 17.
SBI Funds Management IPO Structure
The IPO is entirely an offer for sale (OFS) of 170.96 million equity shares. Since the issue does not include a fresh issue component, the company will not receive any proceeds from the offering. The selling shareholders will receive the entire proceeds after deducting issue-related expenses.
The issue also includes a reservation of 3.26 million shares for eligible employees and 13.06 million shares under the shareholder reservation category for investors holding shares of State Bank of India (SBI) on the record date. The shareholder reservation allows eligible SBI shareholders to apply under a separate quota in addition to the retail category, subject to applicable rules.
SBI Funds Management Financial Performance And Valuation
SBI Funds Management is India's largest asset management company by assets under management (AUM), managing around Rs 16.32 lakh crore, or nearly 15.5 per cent of the domestic mutual fund industry's AUM.
For FY26, the company reported total income of Rs 4,976.11 crore, up about 17 per cent from Rs 4,236.15 crore a year earlier. Profit after tax rose nearly 21 per cent to Rs 3,067.38 crore from Rs 2,540.15 crore in FY25.
The company reported a return on equity (ROE) of 43.02 per cent for FY26. At the upper end of the price band, the IPO is valued at a price-to-earnings (P/E) multiple of 38.12 times. Based on the upper price band, SBI Funds Management will command an implied market capitalisation of about Rs 1.17 lakh crore.
About SBI Funds Management
Established in 1992, SBI Funds Management is a joint venture between SBI and Amundi. It manages SBI Mutual Fund and offers equity, debt, hybrid, exchange-traded funds (ETFs), index funds and portfolio management services.
As of December 31, 2025, the company served more than 16 million investors and managed 126 mutual fund schemes. Besides its domestic business, it also manages India-focused mandates for overseas institutional investors and provides advisory services to Amundi's global emerging market funds.
