Insights
SEBI guidelines for raising of funds by unlisted InvITs through rights issue
November 5, 2020In order to enable unlisted Infrastructure Investment Trusts (InvITs) to raise funds, in addition to raising of funds through private placement, SEBI has prescribed a mechanism for raising of funds through rights issue of units to unit holders of the InvITs (as on the record date fixed for this purpose). Guidelines in this regard provide for a minimum allotment of Rs. 1 crore to an investor, conditions for issuance, pricing of units, timelines and restriction on further issue of units during the period between the date of filing the offer letter with SEBI and the allotment of the units offered.
To refer to the guidelines dated 4 November 2020, click here.
