SEBI to amend Regulations to promote Infra Investment Trusts & REITs
Published: Sep 18, 2017
By TIOLCORPLAWS News Service
MUMBAI, SEPT 18, 2017: SEBI today decided to amend its Regulations to facilitate growth of Infra Investment Trusts and REITs.
The changes approved by the Board include -
i. Allowing REITs and InvITs to raise debt capital by issuing debt securities
ii. Introducing the concept of Strategic Investor for REITs on similar lines of InvITs
iii. Allowing single asset REIT on similar lines of InvIT
iv. Allowing REITs to lend to underlying Holdco/SPV
v. Amending the definition of valuer for both REITs and InvITs
Further, the Board, after deliberations, decided to have further consultation with the stakeholders on a proposal of allowing REITs to invest at least 50% of the equity share capital or interest in the underlying Holdco/SPVs, and similarly allowing Holdco to invest with at least 50% of the equity share capital or interest in the underlying SPVs.