SBI Funds lists 7% above IPO price after $31 billion in bids
Why it matters: The muted debut tempers hopes for upcoming mega Indian listings including Jio Platforms and the NSE.
SBI Funds Management, India’s largest asset manager, began trading at a 7% premium to its IPO price after drawing nearly 3 trillion rupees, or about $31 billion, in bids for its roughly $1 billion share sale. The issue was oversubscribed 41.6 times, driven mainly by institutional demand, while retail investors subscribed 3.6 times and State Bank of India shareholders 9.5 times. The listing is being watched as a test of appetite for large new offerings after a soft first half for Indian IPOs. SBI Funds Management is a joint venture between State Bank of India and Amundi and had 29.5 trillion rupees under management as of March.