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The Rs 25,000-crore Qualified Institutional Placement (QIP) by State Bank of India (SBI) has received overwhelming investor interest
SBI PO 2025: The exam is likely to be in July/August 2025 and the last date to apply is July 14, 2025. (File Pic)
SBI QIP Sees Strong Demand: State Bank of India’s Rs 25,000-crore qualified institutional placement (QIP) has drawn overwhelming interest from both global and domestic investors. According to people familiar with the matter, bids worth nearly Rs 1 lakh crore were received — about four times the shares on offer, making it the largest QIP ever by an Indian company.
Bankers involved said the issue was already fully subscribed before launch, reflecting strong investor confidence. “SBI’s QIP underscores the robust appetite for Indian equities and high-quality financial paper,” said one of the bankers associated with the deal.
SBI QIP Allotment
Allotment is expected to be completed in the next 2-3 working days. Global institutions such as GIC and Capital International, and domestic institutions such as Life Insurance Corporation, SBI Mutual Fund, Kotak Mutual Fund, and ICICI Mutual Fund are said to have shown interest in the QIP.
SBI’s QIP sets a new record as India’s largest-ever, surpassing Coal India’s 2015 share sale of Rs 22,560 crore. Launched on July 16 at a floor price of Rs 811.05 per share, this marks SBI’s first equity raise since 2017, when it issued Rs 15,000 crore. While SBI has capped the maximum discount at 5%, allowing shares to be issued as low as Rs 770.49 per share, depending on market movement during the offer period, no one expects it to be issued below the offer price.
At the offer price of Rs 811.05, approximately 308.2 million new shares will be issued to institutional investors. This will result in the government’s stake falling from 56.92% (as of March 2025) to 55.02%.
About The SBI QIP
The bank had earlier secured board approval in May 2025 to raise up to Rs 25,000 crore via QIP, FPO, or other permissible routes in FY26. SBI has appointed six investment banks to manage the issue, including the Indian arms of Citigroup and HSBC, along with ICICI Securities, Kotak Investment Banking, Morgan Stanley, and SBI Capital Markets.
This is SBI’s first QIP since 2017-18, when it had raised Rs 15,000 crore.
As of July 17, SBI shares were trading slightly higher at Rs 835.75 apiece.
Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a…Read More
Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a… Read More
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