SBI Picks Citi, HSBC Among Six for $3 Billion Share Sale

State Bank of India has selected half a dozen investment bankers including the India units of Citigroup Inc. and HSBC Holdings Plc to manage its $3 billion share sale, according to people familiar with the matter, in one of the largest equity raisings in the country.

The country’s biggest lender has also chosen ICICI Securities, Kotak Capital, Morgan Stanley and SBI Capital for the fundraising, said the people who asked not to be identified because the matter is private. The appointments will be formalized soon as sale process is expected by end of July, they said.

HSBC declined to comment, while State Bank of India and the other investment bankers did not immediately respond to emails seeking comment.

The equity raising approved by the state lender’s board last month comes after seven years as local bank shares traded near record highs, prompting lenders to consider fund-raising at better valuations. At least four state-run banks have raised a combined $720 million via qualified institutional placements this year, according to Bloomberg-compiled data, while some private peers such as Axis Bank Ltd. and IDFC First Bank Ltd. also have similar plans.

Mumbai-based State Bank of India had previously raised 150 billion rupees via via qualified institutional placements in the 2017-18 fiscal year.