SBI Funds Management IPO: Check day 3 subscription status, latest GMP, allotment and more

The initial public offering (IPO) of SBI Funds Management continued to see a strong bidding from the investors on the third and final day of the bidding process, thanks to all round bidding from the investors. The issue was overall booked more than 70 per cent on day one, while it was subscribed nearly thrice on day two.

SBI Funds Management is selling its shares in the price band of Rs 545-574 apiece. Investors can apply for a minimum of 26 shares and its multiples thereafter. It is looking to raise Rs 9,813 crore via IPO, which is entirely an offer-for-sale (OFS) a fresh share sale of Rs 95 crore and an offer-for-sale (OFS) of up to 17,09,56,631 equity shares worth by the promoters State Bank of India and Amundi.

According to the data, the investors made bids for 1,52,35,24,600 equity shares, or 12.23 times, compared to the 12,45,63,536  equity shares offered for the subscription by 2.35 pm on Thursday, July 16, 2026. The bidding for the issue, which kicked-off on Tuesday, July 14, shall conclude today.

The allocation for qualified institutional bidders (QIBs) was subscribed 25.62 times, while the portion reserved for non-institutional investors (NIIs) saw a subscription of 19.45 times. However, the quota set aside for retail investors was booked 2.94 times as of the same time. Allocations for employee and shareholders of SBI were subscribed 4.11 times and 8.22 times, respectively.

Established in 1992, SBI Funds Management is the largest asset management company (AMC) in India based on assets under management (AUM). It is a joint venture between State Bank of India and Amundi. It offers a wide range of investment products such as equity funds, debt funds, hybrid funds, ETFs, and portfolio management services (PMS). 

Kotak Mahindra Capital, Axis Capital, BofA Securities, HSBC Securities & Capital Markets, ICICI Securities, Jefferies India, JM Financial, Motilal Oswal Investment Advisors and SBI Capital Markets are the lead managers and Kfin Technologies is the registrar of the issue. Shares of the company shall be listed on both BSE and NSE on July 21. 

SBI Funds Management raised a total of 2,662.96 crore from over 100 anchor investors as it allocated 4,63,93,095 shares at Rs 574 apiece. Currently, it is commanding a grey market premium of Rs 100 per share, suggesting a 17 per cent listing pop for the investors.

SBI Funds is the largest AMC in India by QAAUM, with a 15.3 per cent market share as of March 31, 2026. As one of the country's oldest and most established AMCs, the company has consistently delivered strong growth in both revenue and profitability. The issue is valued at a P/QAAUM of 9.3 per cent and a P/E of 38.1 per cent, indicating a fair valuation relative to peers, said Choice Borking.

"Its strategic partnership with Amundi enhances its investment capabilities and international reach, while favorable structural trends such as increasing financialization of household savings, rising SIP adoption, and growing mutual fund penetration are expected to support long-term growth. Considering its market leadership, strong profitability, operational efficiency, and robust long-term growth prospects, we assign 'subscribe' rating to the issue," it added.

SBI Funds Management reported a net profit at Rs 3,067 crore with a revenue of Rs 4,976.11 crore for the financial year ended on March 31, 2026. The company clocked a net profit at Rs 2,540.15 crore with a revenue of Rs 4,236.15 crore for the fiscal year 2024-25. At the current valuations, the company is commanding a total market capitalization close to Rs 1.17 lakh crore.

"We recommend 'subscribe' to the SBIFM IPO, supported by its market leadership, strong distribution network, robust profitability and multiple growth levers. The company is well placed to capitalize on the industry's expected double-digit AUM growth  and strong SIP-led expansion," said Aditya Birla Money.

With a revenue CAGR of 27.7 per cent, PAT CAGR of 21.7 per cent over FY24-FY26 and ROE of 43 per cent in FY26, It has demonstrated strong execution. Rhe stock trades at 38.1 times FY26 earnings, which appears reasonable relative to listed peers, making it an attractive play on India's long-term wealth creation story, it added.

SBI Funds Management has reserved 50 per cent of the net issue for the qualified institutional bidders (QIBs), while non institutional investors (NIIs) will have 15 per cent of the allocation. Retail investors will get 35 per cent of the net offer. Eligible employees of SBI and SBI MF, along with eligible shareholders of SBI also have reservation in this IPO.