REITs, InvITs Garner Rs 55,000 Cr in FY21
REITs and InvITs are catching investors' fancy as they collectively raised close to Rs 55,000 crore in 2020-21, taking their net assets to Rs 1.64 lakh crore. Of the total, Rs 40,432 crore was raised by infrastructure investments trusts (InvITs) and Rs 14,300 crore by real estate investment trusts (REITs) in 2020-21, data released by the Securities and Exchange Board of India (Sebi) showed on 14th July. In comparison, InvITs mobilized Rs 8,573 crore in 2019-20, while REITs did not raise any funds during the period under review. The funds were raised through initial offer, preferential issue, institutional placement and rights issue. The total fund raising also included money collected by unlisted InvITs, Sebi noted. As on March 2021, the net asset value of InvITs (including unlisted one) stood at Rs 1.05 lakh crore as compared to Rs 45,396 crore at the end of preceding fiscal year, while the same for REITs was at Rs 58,430 crore during the year under review as against Rs 28,910 crore in 2019-20. Total 15 InvITs and four REITs were registered as at March-end. Of these, six InvITs and three REITs were listed on the stock exchanges. According to SEBI, the minimum application value will be in the range of Rs 10,000-15,000 and trading lot will be of one for REITs and InvITs. While making an initial public offer and follow-on offer, minimum subscription should not be less than Rs 1 lakh for InvITs and Rs 50,000 for REITs under the current rules. SEB first issued the guidelines for REITs and InvITs in 2014, and revised them several times.
Tags : News/Views SEBI Infrastructure REITs FY21 Garner