SBI Mutual Fund IPO DRHP Filed: 10 key things to know as SBI, Amundi plan stake sale

SBI Mutual Fund IPO: State Bank of India’s asset management arm, SBI Funds Management Limited, has taken a major step towards its mega initial public offering (IPO) by filing its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India.

In an exchange filing on March 19, SBI announced that its AMC subsidiary has filed the DRHP with SEBI. Here are the 10 key takeaways investors should know from the DRHP:

1) SBI Funds Management IPO size and structure

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The SBI Funds Management IPO comprises up to 203.7 million equity shares, representing around 10 per cent stake in SBI Funds Management.

2) Entirely an Offer for Sale (OFS)

The issue is an entirely offer for sale (OFS) of shares with no fresh issue component, meaning the company itself will not receive any funds obtained from the public offer, and the proceeds will directly go to the selling shareholders.

3) SBI Funds Management IPO via book-building route

The issue will be conducted through the book-building process in line with SEBI’s ICDR Regulations. "The IPO shall be made through the bookbuilding process in accordance with provisions of the SEBI ICDR Regulations," the exchange filing read.

4) SBI to sell 6.3% stake

Parent State Bank of India plans to offload up to 12.83 crore shares, equivalent to 6.3 per cent stake, through the public offering.

5) Amundi to divest 3.7%

Amundi India Holding will sell up to 7.53 crore shares, representing a 3.7 per cent stake.

6) Revised share count

The number of shares offered by SBI has increased significantly—from 3.2 crore shares earlier to 12.83 crore equity shares now, due to:

• Bonus share issuance
• ESOP exercises by employees

"In light of increase in the equity share capital of SBIFML due to issuance of bonus shares and exercise of ESOPs by eligible employees, the number of Equity Shares being offered for sale by State Bank of India has been revised from up to 3,20,60,000 Equity Shares (amounting to 6.3007 per cent of the paid-up equity share capital of SBIFML as on November 6, 2025) to up to 12,83,34,397 Equity Shares (amounting to 6.3007 per cent of the paid-up equity share capital of SBIFML as on date)," SBI said.

7) SBI Mutual Fund IPO pricing not decided yet

The price band and final offer price will be determined later, based on market conditions and regulatory approvals. "The Price Band and Offer Price shall be decided in accordance with provisions of the SEBI ICDR Regulations and other applicable law," SBI said in its exchange filing.

8) No fresh capital raising

Since this is purely an OFS, no new capital will be infused into the company, and funds will go to existing shareholders.

9) Regulatory approvals pending

The IPO is subject to approvals from the Securities and Exchange Board of India and other regulatory clearances.

10) IPO timing still uncertain

The IPO is subject to approvals, market conditions, and other factors, and no final listing timeline has been disclosed yet.

SBI stock performance

State Bank of India shares jumped nearly 3 per cent in the early hours of trade, following the announcement of the DRHP for the AMC IPO.

The bank stock was trading at Rs 1,066.70 as of 1:30 pm, up 1.69 per cent from the previous close.

During early trade, the stock opened at Rs 1,058 and surged to an intraday high of Rs 1,085.00, marking a gain of about 2.55 per cent from the opening price.

On a broader basis, the stock has delivered an 8.30 per cent gain year-to-date (YTD), though it has declined 12.31 per cent over the past one month, indicating recent pressure.

The stock touched a 52-week high of Rs 1,234.80 on February 24, 2026, while the 52-week low stands at Rs 730.95 recorded on April 7, 2025.