State Bank of India (SBI) has decided to offload 6 per cent stake in its mutual fund unit SBI Funds Management Private Ltd via an initial public offer (IPO).
“The Executive Committee of Central Board of the bank has accorded approval for exploring possibilities to offload 6 per cent stake of the bank in SBI Funds Management Private Ltd through the IPO route, subject to receipt of all regulatory approvals,” it said in a stock exchange filing. SBI has not indicated a timeline for coming to the market with a public offer. SBI Fund Management is India’s largest mutual fund with assets under management of Rs 578,166 crore as of September. SBI currently holds 63 per cent stake. The remaining 37 per cent is held by Amundi India Holding.