Sebi amends guidelines for real estate
Markets regulator Sebi Tuesday amended guidelines for Real estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs) to ease the process of public issue of their units.
Now, these trusts can accept only Applications Supported by Blocked Amount (ASBA).
Among others, the manager on behalf of the REIT or InvIT will announce the floor price or price band at least two working days prior to the opening of the bid in case of an initial public offer. Currently, it is five days.
In two separate circulars, the Sebi said the amendments have been made to rationalise and ease the process of public issue of units of REITs andInvITs.
Regarding the issue period, it said the trusts may extend the bidding issue period for a minimum of three working days in case of force majeure, banking strike or similar circumstances.
However, the extension should not exceed the thirty-day bidding period.
Investors will be required to submit a completed bid-cum-application form either to self-certified syndicate banks with whom the bank account to be blocked is maintained or to intermediaries.