State Bank of India Expands Stake in Raajmarg Infra Investment Managers to 7.45%

State Bank of India (SBI), India's largest public sector bank, has increased its stake in Raajmarg Infra Investment Managers Private Limited through a rights issue, as disclosed in a recent regulatory filing.

Key Details of the Acquisition

Aspect	Details
Shares Acquired	5,10,000 equity shares
Acquisition Method	Rights issue
Price per Share	Rs. 10
Total Shares Held Post-Acquisition	14,90,000 shares
Resulting Stake	7.45%

Strategic Implications

The acquisition of additional shares in Raajmarg Infra Investment Managers Private Limited aligns with SBI's strategy to diversify its investment portfolio. This move positions SBI to potentially benefit from the growing infrastructure sector in India.

About Raajmarg Infra Investment Managers

Raajmarg Infra Investment Managers Private Limited is an asset management company that plans to provide investment management services to a proposed public Infrastructure Investment Trust (InvIT) sponsored by the National Highways Authority of India (NHAI). This connection to NHAI-sponsored projects suggests a focus on highway and road infrastructure investments.

Regulatory Compliance

SBI's disclosure of this acquisition complies with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The bank has provided the necessary details to the stock exchanges, ensuring transparency in its investment activities.

The strategic investment in Raajmarg Infra Investment Managers Private Limited demonstrates SBI's continued interest in the infrastructure sector and its potential for growth. As India continues to focus on infrastructure development, this move may allow SBI to participate in and potentially benefit from large-scale infrastructure projects.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-0.33%	-0.70%	+8.05%	+18.99%	+17.97%	+315.78%

State Bank of India (SBI), India's largest public sector bank, has reported a robust performance for the second quarter of fiscal year 2026, demonstrating resilience amid global economic challenges. The bank's results highlight significant improvements in key financial metrics and strategic initiatives aimed at enhancing operational efficiency.

Financial Highlights

SBI reported a net profit of Rs 21,860.6 crore for Q2 FY26, which includes an exceptional gain of Rs 4,593 crore from the sale of YES Bank stake. Excluding this one-time gain, the bank's core performance remains strong, with domestic Net Interest Margins (NIMs) improving by 7 basis points quarter-on-quarter to 3.09%.

The bank's financial performance for Q2 FY26 can be summarized as follows:

Metric	Q2 FY26 (Rs crore)	YoY Change
Net Profit	21,860.60	6.30%
Net Interest Income	50,037.60	5.78%
Other Income	50,883.90	19.01%
Operating Profit	55,774.60	-4.39%

Credit Growth and Asset Quality

SBI has demonstrated strong credit growth, with the bank's total advances reaching Rs 33,49,312 crore, marking a year-on-year increase of 12.39%. The bank's Chairman, C.S. Setty, expressed confidence in achieving the targeted annual credit growth of 12-14%.

Asset quality continues to improve, with Gross Non-Performing Assets (GNPA) ratio decreasing to 2.55% from 2.76% in the previous quarter. The Net NPA ratio also improved to 0.64%.

Capital Adequacy and Fundraising

SBI successfully completed India's largest Qualified Institutional Placement (QIP) offering, raising Rs 25,000 crore. The issue was oversubscribed 4.5 times, with demand exceeding Rs 1.1 trillion, demonstrating strong investor confidence in the bank.

The bank's capital adequacy ratio stood at 14.28% as of September 30, 2025, well above the regulatory requirements.

Strategic Initiatives

Chairman Setty highlighted several strategic initiatives during the analyst meet:

Project SARAL: Launched on July 31, 2025, this initiative aims to simplify and redesign operational processes in retail banking.
YONO 2.0: The bank is set to launch an upgraded version of its digital banking platform, enhancing customer experience and digital capabilities.
Global Trade Finance Centres: SBI has consolidated its 17 trade finance processing centers into two global centers in Kolkata and Hyderabad, leveraging digital technology for improved efficiency.
Focus on CASA: The bank continues to emphasize growth in Current Account and Savings Account deposits, with the CASA ratio standing at 39.63%.

Outlook

SBI maintains a positive outlook for the second half of FY26, expecting continued demand for credit. The bank's management anticipates deposit and credit growth for scheduled commercial banks to remain in the range of 11-12% during FY26.

Chairman Setty stated, "SBI's path is clear. We will defend and extend the liability franchise, grow faster than industry where RORWA is superior, institutionalize execution and deliver fair outcomes for all stakeholders."

While the global economic environment presents challenges, SBI's strong performance and strategic initiatives position it well for sustained growth and improved market share in key segments.