SBI to Sell 1% Stake in NSE’s ₹30,000 Cr IPO
By ThePip Desk
State Bank of India and subsidiary SBI Capital Markets will divest up to 1% in the NSE’s massive ₹30,000 crore IPO, confirmed Chairman C.S. Setty.
State Bank of India (SBI) and its subsidiary, SBI Capital Markets Ltd, will dilute up to a 1% stake in the National Stock Exchange (NSE) as part of its upcoming ₹30,000-crore Initial Public Offering (IPO).
SBI Chairman C.S. Setty confirmed this move, with SBI divesting 0.65% and SBI Capital Markets diluting 0.35%.
- Total group divestment: 1%
- Anticipated NSE IPO size: ₹30,000 crore
- SBI’s current NSE stake: 3.23%
- SBI Capital Markets’ current NSE stake: 4.33%
SBI’s Other Monetization Moves
Setty also noted no immediate plans for monetizing other SBI subsidiaries, following a recent successful public offer.
SBI and its foreign partner Amundi diluted about a 10% stake in SBI Mutual Fund, raising ₹9,800 crore.
- SBI Mutual Fund issue oversubscribed: 42 times
- SBI’s post-listing holding in mutual fund: 55.46% (from 61.76%)
- Amundi’s post-listing stake: 32.56% (reduced by 3.7%)
Dominance in Housing Finance
SBI maintains a dominant position in housing finance, with its mortgage portfolio expected to exceed ₹10 lakh crore this quarter.
The bank already surpassed a ₹9 lakh crore home loan portfolio in the previous financial year, holding nearly 28% market share.
- Target mortgage portfolio: Over ₹10 lakh crore (current quarter)
- Previous financial year home loan portfolio: Over ₹9 lakh crore
- Home loan market share: Nearly 28%
- Home loan processing centers: Over 460 across India
Setty attributed customer preference to transparent pricing and trust, highlighting home loans’ critical role in India’s economy through a multiplier effect on over 200 allied industries.