By Nishit Navin and Gopika Gopakumar
BENGALURU/MUMBAI (Reuters) -State Bank of India, the country’s largest lender by assets, and Europe’s biggest fund manager Amundi will jointly sell a 10% stake in SBI Funds Management through an initial public offering, the former said in a statement on Thursday.
The asset management firm is India’s largest fund manager, collaring a market share of more than 15% and managing assets worth 120 billion rupees ($1.37 billion). The fund, a joint venture between SBI and Amundi, serves retail and institutional investors through mutual funds and investment portfolios.
This is a second attempt by the partners to list the asset manager after an earlier announcement in 2021.
This listing will unlock value for the asset manager, and the Indian market presents significant development potential, said Valérie Baudson, CEO of the French firm, which manages 2,317 billion euros in assets.
This year is expected to be a record for India’s IPO market, with the proceeds surpassing the previous year’s $20.5 billion as some of the country’s largest firms – Tata Capital, LG Electronics India and HDB Financial – offered blockbuster listings.
Over 240 large- and mid-sized firms have already raised $10.5 billion in the first nine months of 2025, according to LSEG data, turning India into the third-biggest venue for primary market fundraising globally.
SBI will sell a 6% stake and Amundi will sell 3.7% of its holdings via the IPO, which will likely be completed in 2026, according to the Indian lender. The bank currently owns a 61.9% stake, while Amundi holds 36.4%.
The IPO will also be the third for an SBI subsidiary, after the listing of SBI Cards and SBI Life Insurance.
“We will now start the process of appointing investment bankers and doing a fresh valuation of the company,” said a senior banker at SBI, who did not want to be named as the matter is confidential.
The asset manager reported a net profit of 15.86 billion rupees for the first half of this fiscal year, up 15% from a year earlier.
($1 = 87.8950 Indian rupees)
(Reporting by Nishit Navin, Gopika Gopakumar; Editing by Sonia Cheema and Janane Venkatraman)
