The initial public offering (IPO) of SBI Funds Management has received a positive response from brokerages, with analysts highlighting the company’s strong market position, profitability, and long-term growth potential. India’s largest asset management company (AMC) is set to enter the primary market with an aim to raise ₹9,812.91 crore through the issue.
The IPO is entirely an offer for sale (OFS), with promoters State Bank of India (SBI) and Amundi India Holding planning to sell a combined 171 million equity shares. The issue has been priced in the range of ₹545 to ₹574 per share, with the subscription window scheduled from July 14 to July 16, 2026.
Brokerages have maintained a favourable outlook on the offering, citing SBI Funds Management’s leadership in the mutual fund industry, a strong distribution network backed by SBI, robust financial performance, and high operating margins. Analysts believe the company is well-positioned to benefit from the growing financialisation of household savings and increasing retail participation in mutual funds.
Market observers have also noted positive sentiment in the grey market, where unlisted shares were reportedly trading at a premium over the upper end of the IPO price band.
Brokerages including Anand Rathi Research and Arihant Capital have recommended subscribing to the IPO, pointing to the company’s diversified product portfolio, large investor base, strong asset management capabilities, and long-term growth prospects in India’s expanding asset management sector. The IPO is expected to attract significant investor interest as market participants assess opportunities in the country’s rapidly growing mutual fund industry.
