SEBI Issues Consultation Paper is to Seek Comments on Framework for Issuance of Subordinate Units by REITs and InvITs
- Blog|News|Company Law|
- < 1 minute
- By Taxmann
- |
- Last Updated on 13 December, 2023
Latest from Taxmann
Consultation Paper DDHS – POD 2, Dated 09.12.2023
The Board has notified the consultation paper to seek comments from the public on the framework for issuance of subordinate units by REITs and InvITs to sponsor(s), their associates and sponsor group and framework for Unit Based Benefits for the employees of the Manager of REIT and Investment Manager of InvIT.
Now, Subordinate units can be issued only to the sponsor(s), its associates and sponsor group Also, subordinate units shall carry only inferior voting or any other inferior rights.
Further, any issuance of subordinate units post initial offer shall require prior approval from seventy five percent of the unitholders by value. Sponsor(s), sponsor group, associates of sponsor(s) and any other parties related to the transaction shall not vote on such matter
Also, the manager of REIT/Investment Manager of InvIT may offer Unit Based Employee Benefits (UBEB) schemes for their employees based on the units of REIT/InvIT. Further, the implementation of UBEB scheme shall be done through a separate Employee Benefit Trust which shall be created by Manager of REIT/Investment Manager of InvIT.
Click Here To Read The Full Updates
Disclaimer: The content/information published on the website is only for general information of the user and shall not be construed as legal advice. While the Taxmann has exercised reasonable efforts to ensure the veracity of information/content published, Taxmann shall be under no liability in any manner whatsoever for incorrect information, if any.
Taxmann Publications has a dedicated in-house Research & Editorial Team. This team consists of a team of Chartered Accountants, Company Secretaries, and Lawyers. This team works under the guidance and supervision of editor-in-chief Mr Rakesh Bhargava.
The Research and Editorial Team is responsible for developing reliable and accurate content for the readers. The team follows the six-sigma approach to achieve the benchmark of zero error in its publications and research platforms. The team ensures that the following publication guidelines are thoroughly followed while developing the content:
- The statutory material is obtained only from the authorized and reliable sources
- All the latest developments in the judicial and legislative fields are covered
- Prepare the analytical write-ups on current, controversial, and important issues to help the readers to understand the concept and its implications
- Every content published by Taxmann is complete, accurate and lucid
- All evidence-based statements are supported with proper reference to Section, Circular No., Notification No. or citations
- The golden rules of grammar, style and consistency are thoroughly followed
- Font and size that’s easy to read and remain consistent across all imprint and digital publications are applied
Sign Up
To subscribe to our weekly newsletter please log in/register on Taxmann.com
Latest Books
Everything on Tax and Corporate Laws of India
To subscribe to our weekly newsletter please log in/register on Taxmann.com
