SBI Funds Management Ltd is preparing to launch formal marketing for its planned initial public offering as early as next week, aiming to raise up to $1.5 billion, according to people familiar with the matter. The country’s largest asset manager intends to allocate roughly three-quarters of the offering to domestic investors and is also weighing a pre-IPO placement that could bring in as much as $350 million. Discussions with bankers are ongoing as the structure of the deal is finalized.The firm is targeting a valuation of about $13 billion to $15 billion, placing it in comparison with ICICI Prudential Asset Management Co., which currently has a market capitalization of around $17.6 billion following its recent listing.

Details of the IPO, including timing and size, may still change as deliberations continue. The company has reportedly appointed several banks, including Kotak Mahindra Capital Co., Axis Bank Ltd., and HSBC Holdings Plc, to manage the offering. Jointly owned by State Bank of India Ltd. and Amundi SA, the IPO will consist entirely of share sales by existing investors, with no fresh equity issuance.