Shares of SBI Funds Management climbed in their first day of trading in Mumbai following the firm's billion-dollar initial public offering, India's largest so far this year. The stock rose as much as 8.9% to 625 rupees early Tuesday before paring the gain to about 8% on the BSE around noon.

That gave India's largest asset-management company a market valuation of more than $13 billion. SBI Funds Management had quarterly average assets under management of 29.5 trillion rupees, equivalent to $305.74 billion, as of March, and is India's largest asset-management company by mutual fund assets, with a roughly 15% share.

A solid trading debut could provide a much-needed lift to India's relatively subdued IPO market, indicating robust investor interest in big-name listings. Among companies seeking to go public in 2026 is the National Stock Exchange of India, which filed for an IPO that could be one of India's biggest-ever listings. Other highly anticipated IPOs include Jio Platforms.

Nearly 171 million shares, priced at 574 rupees each, were sold in the IPO, raising the equivalent of about $1.02 billion. Major shareholders State Bank of India and the Indian arm of European asset manager Amundi received all net proceeds.