Sebi on 11th Sept 2023 issued the framework to exercise board nomination rights by eligible unitholders of Real Estate Investment Trusts (REITs) and Infrastructure InvInvestment Trusts (InvITs).
An eligible unitholder means a unitholder that has 10 per cent or more of the total outstanding units of a REIT or InvIT, either individually or collectively. The manager of a REIT or InvIT should review whether the eligible unitholders who have exercised the board nomination right, continue to have/hold the required number of units of the REIT or InvIT concerned.
The review has to be done within 10 days from the end of each calendar month.
This circular shall come into force with immediate effect.
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