Infrastructure Investment Trusts

Property Share becomes first FOP; gets Sebi license for small, medium REIT

Property Share, which facilitates fractional ownership of commercial assets, on Friday said it has received the Small and Medium Real Estate Investment Trust (SM REIT) license from market regulator SEBI. In a statement, the company said it has "become the first fractional ownership platform (FOP) to receive the Small and Medium Real Estate Investment Trust (SM REIT) license from the Securities and Exchange Board of India (SEBI)". The license has been given by the SEBI under the newly notified SM REIT regulations under the name of Property Share Investment Trust (PSIT). Property Share will become the investment manager of PSIT. In 2022, Property Share raised Rs 347 crore in a Series B round from WestBridge Capital. "We look forward to continue working closely with SEBI in launching the IPO (Initial Public Offer) of the first SM REIT scheme in the weeks to come," said Kunal Moktan, Co-Founder of Property Share.

Govt brings listed equity & units of REITs, InvITs at par to calculate LTCG

The government on Tuesday brought units of listed business trusts -- REITs and InvITs -- at par with listed equity shares while calculating long-term capital gain tax, a move that will foster a more agile investment environment. According to the Union Budget document, the government has reduced the holding period for determining long-term capital gains for business trusts from 36 months to 12 months. "Thus units of listed business trust will now be at par with listed equity shares at 12 months instead of earlier 36 months," the document noted. Real estate Investment Trusts (REITs) and infrastructure investment trusts (InvITs) are new concepts in the Indian market but have been a popular choice globally for their lucrative returns and capital appreciation. A REIT is made up of a portfolio of commercial real estate assets, the majority of which are already leased out, and InvITs consist of a portfolio of infrastructure assets like highways. Indian REITs Association, which has been

IndiGrid Investment Managers settles InvIT rule violation case with Sebi

IndiGrid Investment Managers Ltd has settled a probe by markets regulator Sebi in a case pertaining to the alleged violation of infrastructure investment trust (InvIT) rules after paying Rs 23.4 lakh towards settlement charges. The case related to IndiGrid Investment Managers allegedly using funds mobilised through borrowings for purposes other than the acquisition or development of infrastructure projects. The order came after IndiGrid Investment Managers filed a settlement application with Sebi proposing to settle the instant proceedings initiated against it "without admitting or denying the findings of facts and conclusions of law" through a settlement order. After IndiGrid Investment Managers paid the settlement amount, Sebi, in a settlement order passed on Monday, said the "instant adjudication proceedings initiated against the noticee vide SCN (SCN) ...September 21, 2023 is disposed of". The Securities and Exchange Board of India (Sebi) initiated adjudication proceedings ...

REITs, InvITs mobilise Rs 1.3 trillion in past four years: RBI data

Investment vehicles for realty and infrastructure sectors -- REITs and InvITs -- have garnered Rs 1.3 lakh crore in the past four years till March-end, and are expected to facilitate more pooled funds, Reserve Bank said in a report. Experts and stakeholders are of the view that with India growing at a fast pace, REITs and InvITs are emerging as alternative investment instruments, especially for high net-worth individuals. "India has been a late adopter of real estate investment trusts (REITs) and infrastructure investment trusts (InvITs). However, the market is flourishing - REITs and InvITs have mobilised Rs 1.3 lakh crore since 2019-20 (up to March 2024)," said an article on 'State of Economy' published in the RBI's April Bulletin. March witnessed the listing of an InvIT, which raised Rs 2,500 crore through a public issue, attracting substantial interest from foreign investors. The article noted that market regulator SEBI has progressively reduced the minimum investment size and

IndiGrid acquires solar power plant at an enterprise value of Rs 1,550 cr

Infrastructure investment trust IndiaGrid on Friday said it has completed the acquisition of 300 MW solar project at an enterprise value of Rs 1,550 crore. With this asset addition, IndiGrid's portfolio now consists of 19 solar projects across eight states of the country with a total generation capacity of 1.1 GWp. IndiGrid's total Assets Under Management now stands at Rs 28,200 crore, an IndiGrid statement said. "IndiGrid, India's first and largest listed power sector infrastructure investment trust (InvIT), today announced that it has consummated transaction of 300 MW AC solar asset for an enterprise valuation of around Rs 15,500 million, exclusive of net working capital and cash adjustments, in line with the share purchase agreement that was signed in January 2024," it said. This acquisition has been funded through a combination of equity, internal accruals, and debt and will add Rs 80 crore of net distributable cash flow, to IndiGrid, every year. The net debt/AUM will be 63 pe

Reliance Industries transfers Rs 5,150 cr to warehouse InvIT fund

Reliance Industries Ltd (RIL) has transferred Rs 5,150 crore earlier this week to its warehouse InvIT infrastructure investment trust (InvIT) entity. "Reliance Retail completed the transfer of assets to warehouse InvIT entity for a total consideration of Rs 5,150 crore on 25th October 2023," said the earning statement from Reliance Retail on Friday. The asset value is now reflected in the 'Other Financial Assets' segment, as of September 30, 2023, it added. RIL has set up an InvIT, under which the group can monetise the backend warehousing and logistics assets of its retail business. Reliance Retail, which operates the retail business of the billionaire Mukesh Ambani-led Reliance Industries, registered the trust with the market regulator Securities and Exchange Board of India (Sebi) in February this year. The funds raised by the InvIT will be used for the acquisition of warehousing and logistics-related assets through a special-purpose vehicle. Reliance Retail, which is aggressiv

Shrem InvIT scraps plans for NCDs; opts for loan to acquire 10 road SPVs

Evaluating 10 more operating roads; to expand capital by Rs 330 cr

Cube Highways and Infra InvIT raises Rs 5,226 cr from BCI, Mubadala

Canadian pension investment manager British Columbia Investment, Abu Dhabi's sovereign investor Mubadala and domestic institutional investors subscribed to the offering, the company said in a release

RIL readies $2.4-3 bn Infra Investment Trust for retail warehousing assets

Reliance Industries Ltd has already begun setting the framework for the potential infrastructure investment trust (InvIT) of its warehouse assets

Pace of bank lending to infrastructure shrinks to 2.3%: RBI data

Bankers say private infra offtake slow; much of funding is via public funds

Sebi notifies governance norms for REITs, InvITs similar to listed cos

Markets watchdog Sebi on Wednesday notified governance norms for Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs) on the lines of listed companies. In two separate notifications, provisions such as those related to tenure of auditor, computation of leverage and unclaimed or unpaid distribution have been streamlined by the regulator. This comes after the board of Sebi approved a proposal in December for introducing governance norms for REITs and InvITs on the lines of corporate governance norms for listed companies. As part of streamlining the provisions for REITs and InvITs, the regulator said the tenure of an auditor will be made till the conclusion of the fifth annual general meeting of unitholders, and a statutory auditor will undertake a limited audit of all the entities or companies whose accounts are to be consolidated. REITs or InvITs would not appoint an individual as the auditor for more than one term of five consecutive years, while an .

Reliance Industries may hive off green hydrogen business to InvIT

Jefferies values firm's green hydrogen business at $8 bn

Strong leasing activity to benefit Real Estate Investment Trusts

But slowdown in the US and rising interest rates could pose risks

No immediate plan to get retail investors into NHAI InvIT: CEO Suresh Goyal

Talks underway with Sebi to make private-listed InvIT into public

CCI okays equity and CCD allotment of five highway SPVs by Indinfravit

The five SPVs are engaged in operating and maintaining highways in the states of Andhra Pradesh, Uttar Pradesh, Bihar and Maharashtra

Govt won't sponsor roads sector InvITs; plans to bring retail investment

InvITs are collective investment vehicles that allow direct investments from individual and institutional investors in infrastructure projects, and give them a small portion of the income in returns

Railway asset monetisation through Rs 18,000 cr InvIT unlikely in FY23

Both the finance ministry and Union cabinet have recently come down heavily on railways and asked it to expedite its monetisation efforts

NHAI offers three additional roads to its InvIT totalling 247 km

NHAI chairperson Alka Upadhyaya said with the success of NHAI InvIT, the state-owned agency has continued to deliver on its commitments under the National Monetisation Pipeline (NMP)

Govt seeks to replicate NHAI success with InvITs at railways and ports

Plans more launches in FY23; gas pipelines, other sectors also on radar

Tata Power's plan to reduce debt through InvIT gets delayed

The company was planning to bring down its gross debt to below Rs 25,000 crore from Rs 49,000 crore with the InvIT structure