SBI Mutual Fund has received SEBI approval for its initial public offering (IPO), bringing India's largest asset management company closer to its stock market debut. With assets under management (AUM) of around Rs 12.5 lakh crore, the company is expected to announce its price band in July, while the listing is likely next month. The proposed IPO, estimated at Rs 13,000-13,500 crore, is entirely an offer for sale by State Bank of India and Amundi India Holding.

Following the approval, SBI Mutual Fund's unlisted shares have surged over 15 per cent in the past month to Rs 860-870 apiece, reflecting strong investor demand. Experts, however, caution that unlisted shares often trade at a scarcity premium and the IPO price could be lower than current pre-IPO levels.

For the nine months ended December 2025, the company reported a net profit of Rs 2,431.9 crore. Analysts believe its dominant 15 per cent-plus market share, healthy profitability, and strong return on equity make the IPO attractive, though investors should closely evaluate the final valuation and pricing.