SBI Funds Management listing makes some employees crorepatis; stock debuts at 7% premium to IPO price
SBI Funds Management stock listing: Years of employee stock ownership at SBI Funds Management is poised to generate multi-crore wealth for several executives as the country's largest asset management company enters the stock market. Based on the IPO issue price of Rs 574 per share, 13 employees own equity stakes valued at more than Rs 1 crore.
SBI Funds Management made a strong debut on Dalal Street today, listing at a premium of around 7% over its IPO price. The stock opened at Rs 610 on the BSE, which is a gain of 6.27% from the issue price of Rs 574, while it listed at Rs 613.30 on the NSE.Deputy Managing Director Devinder Pal Singh stands to gain the most, with his vested shareholding valued at around Rs 121 crore, according to the company's prospectus.
The next largest holding belongs to Chief Investment Officer Srinivasan Rama Iyer, whose stake is worth about Rs 105 crore, according to an ET report.Crorepatis from SBI Funds Management listing bonanzaAt the IPO price, Singh's 21.14 lakh vested shares are valued at nearly Rs 121 crore. In addition, he owns unvested stock options that could be worth about Rs 30 crore if exercised in the future.
Iyer's 18.25 lakh vested shares have an estimated value of around Rs 105 crore, while his unvested options are valued at roughly Rs 51 crore at the offer price.Several other senior executives are also in line for substantial gains. Chief of Strategy, Digital & Technology and Head of Investor Relations Srinivas Jain holds vested shares worth close to Rs 59 crore.
Chief Investment Officer – Fixed Income Rajeev Radhakrishnan has holdings valued at about Rs 36 crore, while Chief Risk Officer Aparna Nirgude's vested stake is worth approximately Rs 31 crore. Chief Compliance Officer, Company Secretary and Head of Legal Vinaya Datar owns vested shares with an estimated value of around Rs 21 crore, the report said.The list of employee shareholders also includes senior leaders from finance, human resources, technology and fund management.
Among them are Chief Financial Officer Inderjeet Ghuliani, Chief Human Resources Officer Rajat Grover, Chief Information Security Officer Sanjay Pugaonkar, and fund managers Mohan Lal and Mahesh Chhabria, each of whom holds vested shares worth more than Rs 1 crore at the IPO issue price.Originally launched in 2018 and revised subsequently, the ESOP programme allotted options with exercise prices ranging from about Rs 39 to Rs 455 per share.
With the IPO priced at Rs 574 per share, employees who remained with the company through its expansion have realised significant gains on these grants.The company entered the market after attracting robust institutional demand. Ahead of the IPO opening, SBI Funds raised nearly Rs 2,663 crore from anchor investors, with 129 marquee institutions—including BlackRock and Goldman Sachs—participating in the allocation.
It had also secured approximately Rs 1,880 crore through a pre-IPO placement.Investor interest remained strong throughout the three-day subscription period from July 14 to July 16. The issue was subscribed nearly 42 times overall, driven primarily by qualified institutional buyers, whose portion was oversubscribed around 140 times.
The non-institutional investor category saw subscriptions of 22.51 times, while the retail segment was subscribed 3.6 times.Get the latest Business News and Live updates. Download the TOI app.