Sebi asks REITs, InviTs to hold securities of SPVs, Holding companies in demat form only
To encourage ease of doing business and improve transparency, capital markets regulator Sebi on Monday asked REITs and InvITs to hold the securities of holding companies and special purpose vehicles (SPVs) in dematerialized form only.
To encourage ease of doing business and improve transparency, capital markets regulator Sebi on Monday asked REITs and InvITs to hold the securities of holding companies and special purpose vehicles (SPVs) in dematerialized form only.
The investment manager of the REIT (real estate investment trust) and InvIT (infrastructure investment trust) will have to ensure the same, Sebi said in two separate circulars.
Further, for existing securities holdings by REITs and InvITs in Holding Companies and SPVs in physical form, the investment managers have been directed to dematerialise such securities by June 30.
Under the rules, the units of REITs and InvITs would be issued only in the dematerialised form to all the applicants.
Also Read: Gainers and Losers: Top 10 stocks that buzzed the most today
REITs and InvITs are relatively new investment instruments in the Indian context but are extremely popular in global markets.
While a REIT comprises a portfolio of commercial real assets, a major portion of which is already leased out, InvITs comprise a portfolio of infrastructure assets, such as highways and power transmission assets.
Catch latest stock market updates here. For all other news related to business, politics, tech, sports and auto, visit Zeebiz.com.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.