SBI Funds Management IPO draws ₹2.98 lakh crore for its ₹9,813-crore issue, enters India's top five by bid value
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The ₹9,813-crore SBI Funds Management IPO, which was open for subscription from July 14 to July 16, ended on a strong note, with the issue being subscribed 41.66 times on the final day of bidding, driven by overwhelming institutional demand.
According to exchange data, the IPO received bids for 518.93 crore equity shares worth nearly ₹2.98 lakh crore against 12.45 crore shares on offer, attracting 63.76 lakh applications across investor categories.
With bids worth ₹2.98 lakh crore, the issue ranks as India's fifth-largest IPO by bid value, behind only Reliance Power, LG Electronics India, Bajaj Housing Finance and rival asset manager ICICI Prudential AMC.
Reliance Power's landmark 2008 public issue continues to top the charts, having attracted bids worth a staggering ₹7.12 lakh crore during the peak of the pre-global financial crisis equity boom. It is followed by LG Electronics India's ₹15,237-crore IPO in 2026, which drew ₹4.41 lakh crore in bids, Bajaj Housing Finance's ₹6,560-crore issue in 2024, which garnered ₹3.25 lakh crore, and ICICI Prudential AMC's ₹10,603-crore IPO in 2026, which attracted ₹2.99 lakh crore.
SBI Funds Management has now claimed the fifth spot, overtaking several marquee offerings, including Meesho's 2026 IPO (₹2.45 lakh crore), Nykaa's 2021 issue (₹2.43 lakh crore), Waaree Energies' 2024 public offering (₹2.42 lakh crore), Coal India's record-breaking 2010 IPO (₹2.34 lakh crore) and Zomato's market debut in 2021 (₹2.12 lakh crore).
The qualified institutional buyer (QIB) segment emerged as the biggest driver of demand, closing with a massive 140.11 times subscription. The non-institutional investor (NII) category was subscribed 22.51 times, while the retail individual investor (RII) portion was booked 3.59 times. The employee quota received 4.65 times subscription, while the shareholder reservation portion was subscribed 9.52 times.
Notably, the QIB portion, which was subscribed just 0.08 times on the opening day and 1.50 times on Day 2, surged to 140.11 times by the close of bidding. The NII category climbed from 1.40 times on Day 1 to 22.51 times, while retail subscription improved steadily from 0.67 times to 3.59 times.
Ahead of the IPO, SBI Funds Management raised ₹2,663 crore from 129 anchor investors by allotting 4.64 crore equity shares at ₹574 apiece, the upper end of the price band. The anchor book was reportedly oversubscribed more than 20 times, reflecting strong demand from marquee global sovereign wealth funds, asset managers and domestic institutional investors.
The IPO is entirely an offer for sale (OFS) by existing shareholders. At the upper end of the ₹545-574 price band, SBI Funds Management is valued at around ₹1.17 lakh crore, making it one of the biggest IPOs of 2026.
The anchor investor roster included several marquee global institutions such as GIC, Abu Dhabi Investment Authority (ADIA), Government of Singapore, Monetary Authority of Singapore, Capital World Investors, BlackRock, Fidelity Management & Research, Goldman Sachs Asset Management and Norges Bank.
Last week, the company also raised ₹1,654.99 crore through a pre-IPO placement from investors including 3P India Equity Fund 1, Tata AIG General Insurance Company, Dymon Asia Multi-Strategy Investment (Singapore) Pte. Ltd. and Bennett Coleman & Co. Ltd.
The IPO comprises an offer for sale by existing shareholders State Bank of India (SBI) and Amundi India Holding. SBI is divesting up to 12.83 crore equity shares, representing a 6.3% stake, while Amundi India Holding is selling up to 7.56 crore shares, equivalent to a 3.7% stake. Together, the two promoters, which currently own nearly 98% of the company, are offloading around 10% of their combined holding through the issue.
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