Archive · 7 Jan 2026
Citi, JPMorgan Exit SBI Funds IPO
Citi and JPMorgan, two big banks, decided not to help with a big sale of shares for a company called SBI Funds.
The company is owned by a big Indian bank and a French company.
They wanted to sell some of their shares to the public for about $1.4 billion.
But the fees they offered to the banks were very low, much lower than usual.
So, Citi and JPMorgan said no thanks.
Other banks are still helping with the sale.
Banks are being more careful these days about which deals they work on, especially when the fees are too low.
India has been a very busy place for these kinds of sales lately, with lots of companies raising money this way.
Citi and JPMorgan opted out of advising on SBI Funds' $1.4 billion IPO due to low fees.
SBI Funds replaced Citi with Jefferies Financial Group.
Fees offered were about 0.01% of the issue size, much lower than the industry average of 1.86%.
Kotak Mahindra, Axis Bank, SBI Capital, Motilal Oswal, ICICI Securities, JM Financial, HSBC, and Bank of America are still advising on the IPO.
Banks are being more selective with deals, focusing on those that generate meaningful fees.
- Who
- Citi, JPMorgan, SBI Funds, Amundi, Kotak Mahindra, Axis Bank, SBI Capital, Motilal Oswal, ICICI Securities, JM Financial, HSBC, Bank of America
- What
- Citi and JPMorgan opted out of advising on SBI Funds' $1.4 billion IPO due to low fees
- When
- January 7, 2026
- Where
- India
- Why
- Fees offered were significantly lower than industry average, and banks are being more selective with deals
- Companies
- Citi, JPMorgan, SBI Funds, Amundi
- IPO Size
- $1.4 billion
- Fees Offered
- 0.01% of issue size
- Average IPO Fees (2024)
- 1.86% of issue size
- Expected Valuation
- $14 billion
- Stake for Sale
- 10%
- India IPO Market (2025)
- $22 billion raised