SBI Funds to launch biggest IPO of 2026:Price band set at ₹545-574; target to raise ₹11,693 crore

The biggest IPO of the year in the Indian stock market is about to come. State Bank’s subsidiary company SBI Funds Management Limited filed its RHP, i.e., Red Herring Prospectus, late Wednesday night for this. The company will raise up to ₹11,693 crore through this public issue. IPO to open on July 14, price band ₹545 to ₹574 The price band for shares in this IPO has been fixed at ₹545 to ₹574. Before the announcement of this price band, the company’s shares were trading at around ₹830 per share in the unlisted market. This asset management company will open its public issue for subscription on July 14. At the upper level of the price band, the company’s market capitalization will reach around ₹1.17 lakh crore. Promoters will sell their stake, completely offer for sale This IPO is entirely an offer for sale. In this, SBI will sell 12.83 crore shares equivalent to its 6.3% stake. Meanwhile, its joint venture partner Amundi India Holding will offload 7.56 crore shares equivalent to its 3.7% stake in the open market. Currently, SBI and Amundi hold approximately 98% stake in the company. Initially, this stake of Amundi was with Societe Generale SA, which was transferred to Amundi in June 2011. This will be the first IPO larger than one billion dollars this year. Market Sentiment: Market decline due to Trump’s statement, but no impact on timeline Several large IPOs were filed last month after tensions eased in West Asia. However, US President Donald Trump spoke about ending the ceasefire with Iran on Wednesday. This has affected the sentiment of the Indian market. On Wednesday, Sensex and Nifty fell by more than 2%, which is the biggest single-day decline since March. Market will remain uncertain, but our trust remains intact The company’s Managing Director and Chief Executive Officer Devashish Mishra said, “The market will always remain uncertain, but people’s trust in our company will always remain. Even if market conditions had become worse than the current situation, it would not have affected our launch timeline. He said that this IPO will give the company necessary visibility in the market. This will make us more responsible and transparent, which will help in expanding the reach of mutual funds. Financial Performance: Country’s largest asset manager with ₹29 lakh crore assets According to the company’s annual report of 2026, SBI Funds provides its services to 1.8 crore unique investors in the mutual fund business and manages a total of 128 mutual fund schemes. It is India’s largest asset manager with total assets of more than ₹29 lakh crore. Company’s Three-Year Financial Statement In fiscal year 2026, revenue was ₹4,390 crores. This is 22% higher than ₹3,598 crores in fiscal year 2025. Profit increased by 21% to reach ₹3,067 crores, which was previously ₹2,540 crores. Meanwhile, in fiscal year 2024, the company recorded a profit of ₹2,073 crores on revenue of ₹2,691 crores. Timeline: Allotment on July 18 and Listing on July 21 The allotment of SBI Funds’ IPO is expected to be finalized on July 18. After this, the company’s shares will be listed on both NSE and BSE on July 21. Knowledge Part: What is ‘Red Herring Prospectus’ (RHP) Red Herring Prospectus is the official document that any company submits to the market regulator before launching its IPO. This document contains complete details of the company’s business operations, financial position, information about promoters, and reasons for the IPO.