KUBERGROW TEAM SBI Funds Management Limited Announces 3:1 Bonus Shares & Capital Increase at EGM 2025
SBI Funds Management Limited, a prominent joint venture between the State Bank of India (SBI) and Amundi, has recently announced a major corporate update that has grabbed investor attention. The company will hold its 24th Extra-Ordinary General Meeting (EGM) on Tuesday, December 9, 2025, at 4:30 PM IST, through video conferencing and other audio-visual means.
The EGM has been convened to discuss two key agenda items: an increase in the authorized share capital and the issuance of bonus shares to existing shareholders. These strategic moves reflect SBI Funds Management Limited’s ongoing efforts to strengthen its capital base and reward its shareholders, offering potential growth opportunities for investors.
Increase in Authorized Share Capital
The first agenda item at the EGM focuses on increasing the authorized share capital of SBI Funds Management Limited. The company plans to raise its authorized capital from ₹52.5 crore to ₹210 crore. This will be achieved by creating an additional 1,57,50,00,000 equity shares of ₹1 each. The change also involves amending Clause V in the company’s Memorandum of Association to reflect the new authorized capital structure.
This capital increase is a significant move for SBI Funds Management Limited as it provides more flexibility for issuing new shares, raising funds for future expansion, and supporting business growth initiatives. Shareholders have been asked to approve this special resolution, which aligns with Section 13 and other relevant provisions of the Companies Act, 2013.
Issuance of Bonus Shares
In addition to the capital increase, SBI Funds Management Limited will issue bonus shares in the ratio of 3:1. This means for every one existing equity share, shareholders will receive three fully paid-up bonus shares. The bonus shares will be allocated from the share premium account and free reserves, including general reserves and retained earnings.
The issuance of these bonus shares demonstrates the company’s commitment to rewarding shareholders and enhancing investor confidence. These bonus shares will rank pari-passu with existing equity shares as of the record date and will be fully compliant with the Companies Act, 2013, and other applicable regulations, including the Foreign Exchange Management Act, 1999.
Investor Takeaways
For investors following SBI Funds Management Limited, the EGM represents a significant opportunity. The increase in authorized share capital allows the company to plan future equity issuance and expansions more efficiently. Meanwhile, the 3:1 bonus share issuance is a lucrative reward for existing shareholders, reflecting the company’s strong financial position and growth strategy.
Investors are advised to review the official EGM notice dated November 14, 2025, for complete details on the resolutions and record dates. These corporate actions may influence shareholding patterns and offer new investment opportunities for those interested in SBI Mutual Fund-linked shares.
Key Highlights of the 24th EGM
Date & Time: Tuesday, 9th December 2025, at 4:30 PM IST
Mode: Video Conferencing (VC) / Other Audio-Visual Means (OAVM)
Agenda:
Increase in Authorized Share Capital – ₹52.5 crore → ₹210 crore
Issue of Bonus Shares – 3:1 ratio, fully paid-up
These updates are expected to have a positive impact on investor sentiment and reflect SBI Funds Management Limited’s commitment to financial transparency and shareholder value creation.
Conclusion
SBI Funds Management Limited continues to showcase strong governance and shareholder-friendly policies through the upcoming 24th EGM. The authorized capital increase and bonus share issuance are strategic moves that highlight the company’s growth prospects and commitment to rewarding investors. For those looking to invest in SBI Mutual Fund shares or track corporate developments, this is a key event to watch.
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Disclaimer
This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own due diligence and consult financial advisors before making any investment decisions.
