TMI BlogSecurities and Exchange Board of India (Real Estate Investment Trusts) (Second Amendment) Regulations, 2023X X X X Extracts X X X X X X X X Extracts X X X X ..... Estate Investment Trusts) Regulations, 2014 , namely: 1. These regulations may be called the Securities and Exchange Board of India (Real Estate Investment Trusts) (Second Amendment) Regulations, 2023. 2. They shall come into force on the date of their publication in the Official Gazette. 3. In the Securities and Exchange Board of India (Real Estate Investment Trusts) Regulations, 2014 , ─ I. in regulation 2, sub-regulation (1), - i. the existing clause (qa) shall be renumbered as clause (qai); ii. after clause (q), the following new clause shall be inserted, namely,- (qa) group entities of the Manager means: (i) entities or person(s) which are controlled by the Manager; (ii) entities or person(s) wh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... wardship code specified in Schedule IX of these regulations. III. regulation 7A shall be omitted. IV. in regulation 11 , - i. the existing sub-regulation (3) shall be substituted by the following sub-regulation namely, - (3) The sponsor(s) and sponsor group(s) shall collectively hold not less than - (i) fifteen percent of the total units of the REIT, for three years from the date of listing of units in the initial offer: Provided that any holding by the sponsor(s) and sponsor group(s) exceeding fifteen percent shall be held for a period of not less than one year from the date of listing of units issued in the initial offer; (ii) five percent of the total units of the REIT, from the beginning of fourth year and till ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... India (Real Estate Investment Trusts) (Second Amendment) Regulations, 2023, the provisions contained in clauses (i) to (v) of this sub-regulation shall be applicable only for the additional units issued by the REIT after such date and the units that are locked in at the time of initial offer shall continue to be locked in till the completion of three years from the date of listing of units in such initial offer. ii. after sub-regulation (3), the following sub-regulation shall be inserted namely, - (3A) The units required to be held in terms of sub-regulation (3) shall be locked in and shall not be encumbered: Notwithstanding the above, any encumbrance created on units held to comply with the minimum unit holding requirement appl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... istribution norms as per these Regulations in the preceding five years; (iii) the REIT is rated AAA by a registered credit rating agency for a continuous period of five years immediately preceding exit of the sponsor; (iv) during the period of preceding five years, the REIT has not breached, at any time, the maximum leverage thresholds specified in these regulations; (v) the Manager is meeting the net worth criteria for the sponsor as specified in these regulations; (vi) the minimum unitholding requirement applicable to sponsor(s) and sponsor group(s) shall be complied with, on or after the date of conversion of the Manager to Self-Sponsored Manager, by the Manager, shareholders of the Manager and/or group entities of Manager: ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2. They should formulate a comprehensive policy on the discharge of their stewardship responsibilities, review and update the same periodically; 3. They should have a policy to manage issues of conflict of interest while fulfilling their stewardship responsibilities; 4. They should periodically monitor the REIT and its investee entities viz. HoldCo(s) and SPV(s); 5. They should have a policy on intervention in the REIT and its HoldCo(s) and SPV(s); 6. They should have a policy on voting. BABITHA RAYUDU, Executive Director [ADVT.-III/4/Exty./361/2023-24] Footnotes: 1. The Securities and Exchange Board of India (Real Estate Investment Trusts) Regulations, 2014 was published in the Gazette of India on Septe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ment) Regulations, 2021 vide No. SEBI/LAD-NRO/GN/2021/28 with effect from July 30, 2021. i. Securities and Exchange Board of India (Regulatory Sandbox) (Amendment) Regulations, 2021 vide No. SEBI/LAD-NRO/GN/2021/30 with effect from August 03, 2021. j. Securities and Exchange Board of India (Real Estate Investment Trusts) (Amendment) Regulations, 2022 vide No. SEBI/LAD-NRO/GN/2022/100 with effect from November 9, 2022. k. Securities and Exchange Board of India (Real Estate Investment Trusts) (Amendment) Regulations, 2023 vide No. LAD-NRO/GN/2023/123 with effect from February 14, 2023. l. Securities and Exchange Board of India (Alternative Dispute Resolution Mechanism) (Amendment) Regulations, 2023 vide No. SEBI/LAD NRO/GN/2023/13 ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
