SBI Funds Management IPO Day 1: Issue opens today. GMP hints 17% listing pop. Check issue details, review. Apply or not?

SBI Funds Management's ₹9,795-crore IPO opened for subscription on 14 July and will close on 16 July. The company has fixed the price band at ₹545-574 per equity share, with investors required to bid in multiples of 26 shares.

Ahead of the public issue, SBI Funds Management raised ₹2,663 crore from anchor investors, drawing strong participation from both global and domestic institutional investors.

The company allotted 4,63,93,095 equity shares to 129 anchor investors at ₹574 per share, the upper end of the price band, according to a stock exchange filing issued on Monday.

The anchor book included marquee global investors such as GIC, Abu Dhabi Investment Authority (ADIA), Capital World Investors, BlackRock, Fidelity Management & Research, Goldman Sachs Asset Management, and Norges Bank. Leading domestic institutions including Life Insurance Corporation of India (LIC), HDFC Mutual Fund, ICICI Prudential Mutual Fund, Nippon India Mutual Fund, and HDFC Life Insurance also participated in the anchor allocation.

SBI Funds Management IPO has reserved not more than 50% of the shares in the public issue for qualified institutional buyers (QIB), not less than 15% for non-institutional Institutional Investors (NII), and not less than 35% of the offer is reserved for retail investors. A discount of ₹54 per equity share is being offered to the eligible employees.

Tentatively, SBI Funds Management IPO basis of allotment of shares will be finalised on Friday, 17 July and the company will initiate refunds on Monday, 20 July, while the shares will be credited to the demat account of allottees on the same day following refund. SBI Funds Management share price is likely to be listed on BSE and NSE on Tuesday, 21 July.

Established in 1987, SBI Funds Management is India's largest asset management company (AMC) by quarterly average assets under management (QAAUM). As of March 31, 2026, it managed mutual fund QAAUM of ₹12.51 lakh crore, commanding a 15.3% market share.

Including its portfolio management services (PMS) and alternative investment fund (AIF) mandates, the company's total QAAUM stood at ₹29.46 lakh crore at the end of FY26.

SBI Funds Management IPO GMP today is +100. Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of the SBI Funds Management share was ₹674 apiece, which is 17.42% higher than the IPO price of ₹574.

According to grey market trends observed over the last nine sessions, the current GMP of ₹100 suggests a pessimistic perspective. Throughout this timeframe, the GMP fluctuated between ₹75.00 and ₹140, according to analysts.

Swastika Investmart has recommended "Subscribe for Long Term", citing SBI Mutual Fund's leadership position as India's largest asset management company with ₹12.5 lakh crore in QAAUM, a strong SIP franchise, and the extensive SBI-Amundi distribution network. The brokerage noted that the IPO is valued at 38.1x FY26 EPS, below the industry average of 41.6x, offering reasonable valuations. It also highlighted the company's robust profitability, with a 43.02% return on net worth (RoNW) and an 81.56% EBITDA margin, reflecting its asset-light business model. However, it noted that the issue is a 100% offer-for-sale (OFS) with no fresh capital infusion, making future earnings dependent on AUM growth and market performance.

Nirmal Bang Securities has assigned a "Subscribe" rating from a medium- to long-term perspective. The brokerage said SBI Mutual Fund is attractively valued compared with listed peers and highlighted its ₹12.5 lakh crore QAAUM, 15.3% market share, diversified product portfolio, and strong retail and institutional franchise. It noted that active mutual fund QAAUM grew at a 22% CAGR during FY24-FY26, while the company maintained a 20% cost-to-income ratio, 79% EBITDA margin, and a 51% return on equity (ROE)—well ahead of peers such as HDFC AMC and Nippon Life AMC. At 33.6x EV/EBITDA and 38.1x P/E, ...