Mumbai: State Bank of India Tuesday said it plans to buy a 20 percent stake in SBI Pension Funds in SBI Pension Funds held by SBI Capital Markets.

This transaction will take SBI's shareholding in SBI Pension Funds to 80 percent as it already holds a 60 percent stake in the company.

The acquisition will be completed for a consideration of Rs 229.52 crore.

SBI Funds Management holds the remaining 20 percent stake in SBI Pension Funds.

SBI Pension Funds’ Assets Under Management (AUM) stands at Rs 3.83 lakh crore and PAT of Rs 35.03 crore as of October 30, 2023.

RBI and the Pension Fund Regulatory and Development Authority (PFRDA) have green-lit the proposed acquisition, SBI said in a regulatory release.

The bank added the acquisition is being done at an “arm’s length basis which is based on the valuation report of M/s Deloitte Touche Tohmatsu India.”

The acquisition will conclude on December 15, SBI said.