## Report on the Securities and Exchange Board of India Infrastructure Investment Trusts Second Amendment Regulations, 2022
**1. Executive Summary:**
This report analyzes the Securities and Exchange Board of India (SEBI) Infrastructure Investment Trusts Second Amendment Regulations, 2022, as published in the Gazette of India on November 9, 2022. This amendment modifies the Securities and Exchange Board of India Infrastructure Investment Trusts Regulations, 2014. Key changes include removing specific clauses related to the issuance of units and activities under Chapter VIA, and providing SEBI with the power to grant exemptions to InvITs to facilitate the listing of their units on recognized stock exchanges. The amendment aims to streamline the regulatory framework for Infrastructure Investment Trusts (InvITs) and potentially encourage broader market participation through listing.
**2. Introduction:**
This report provides a detailed overview of the Securities and Exchange Board of India Infrastructure Investment Trusts Second Amendment Regulations, 2022, based solely on the text provided in the Gazette of India. The purpose is to inform affected industry stakeholders about the specific changes introduced by this amendment and their potential implications.
**3. Policy Overview:**
* **Original Policy:** The Securities and Exchange Board of India Infrastructure Investment Trusts Regulations, 2014.
* **Core Objective(s):** The core objective of the amendment, inferred from the provided text, appears to be to refine and streamline the existing regulations governing Infrastructure Investment Trusts (InvITs), potentially with the goal of facilitating easier listing of InvIT units on stock exchanges.
**4. Background and Rationale:**
This amendment likely seeks to address specific operational or regulatory hurdles within the original Infrastructure Investment Trusts Regulations, 2014. The removal of certain subregulations related to unit issuance suggests a simplification of the process, while the new provision granting SEBI the power to grant exemptions aims to address challenges related to listing. The rationale appears to be fostering a more conducive environment for InvITs to access capital markets and increase investor participation.
**5. Key Provisions / Changes:**
This section details the specific changes introduced by the amendment:
* **Regulation 14:** Inserts subregulation 5A, stating "No InvIT shall undertake any activity under Chapter VIA." This means InvITs are now prohibited from engaging in activities defined under Chapter VIA, potentially restricting the scope of their investments or operations. The effect is to limit the activities of InvITs.
* **Regulation 17:**
* Removes clause ea from subregulation 1. It's unclear what 'ea' refers to without the original text, but this removal simplifies subregulation 1.
* Removes the proviso under subregulation 6. It's unclear what the proviso refers to without the original text, but this removal simplifies subregulation 6.
* **Regulation 22:** Removes subregulation 5B. As with the earlier removals, the specific content and purpose of subregulation 5B are unknown without the original regulation, but its removal signifies a simplification.
* **Regulation 26A:**
* Removes the phrase "proposes to issue units or" from subregulation 1. This likely simplifies the language or requirements related to unit issuance.
* Removes subregulation 2.
* Removes the words "and symbol issuing units" from subregulation 3. This further simplifies the language related to unit issuance.
* **Regulation 26B:** Removes subregulation 1.
* **Regulation 26C:** Removes subregulation 1.
* **Regulation 26D:** Removes subregulations 1 and 2. These deletions suggest a reduction in regulatory requirements or procedures related to the content of these subregulations.
* **Regulation 26F:** Numbers the existing provision as subregulation 1 and inserts a new subregulation 2, stating: "Notwithstanding anything contained in these regulations, the Board may grant any exemptions to the InvITs which have issued units in terms of the provisions of this Chapter, from these regulations, for the purpose of facilitating listing the units of such InvITs on a recognized stock exchange having nationwide trading terminals." This grants SEBI discretionary power to provide exemptions to facilitate InvIT listing. The effect is potentially faster and easier listing processes for InvITs.
**6. Target Audience and Stakeholders:**
The primary target audience includes:
* Infrastructure Investment Trusts (InvITs)
* Sponsors and Managers of InvITs
* Investors in InvITs
* Recognized Stock Exchanges
**7. Implementation Aspects (Inferred):**
* **Responsible agency:** The Securities and Exchange Board of India (SEBI) is the primary responsible body.
* **Timelines:** The regulations come into force on January 1, 2023.
* The new subregulation in 26F indicates that InvITs can apply to SEBI for exemptions to facilitate listing. The process for applying for and granting these exemptions will need to be established by SEBI.
**8. Expected Outcomes / Impact of Changes:**
The likely intended outcome of these changes is to:
* Streamline the regulatory process for InvITs.
* Facilitate easier listing of InvIT units on recognized stock exchanges.
* Potentially attract more investors to the InvIT market.
* Provide SEBI with the flexibility to address specific challenges faced by InvITs during the listing process.
**9. Conclusion:**
The Securities and Exchange Board of India Infrastructure Investment Trusts Second Amendment Regulations, 2022, represent a refinement of the existing regulatory framework for InvITs. The amendments aim to simplify unit issuance, grant SEBI greater flexibility in facilitating listings, and potentially broaden market access for InvITs. This amendment is significant for stakeholders in the infrastructure investment sector as it could lead to increased market participation and more efficient capital raising for infrastructure projects.
Key Entities Referenced
SECURITIES AND EXCHANGE BOARD OF INDIA: Regulatory body issuing the notification and the amendment regulations.
Securities and Exchange Board of India Act, 1992: Act under which the powers are conferred to SEBI to make regulations.
Securities and Exchange Board of India Infrastructure Investment Trusts Regulations, 2014: The principal regulations being amended.
Securities and Exchange Board of India Infrastructure Investment Trusts Second Amendment Regulations, 2022: The title of the current amendment regulations.
Mumbai, Maharashtra: Place of issue of the notification.
InvITs: Infrastructure Investment Trusts, the subject of the regulations.
Chapter VIA: A chapter that no InvIT shall undertake any activity under.
Securities and Exchange Board of India Infrastructure Investment Trusts Amendment Regulations, 2016: Previous amendment to the Securities and Exchange Board of India Infrastructure Investment Trusts Regulations, 2014.
Securities and Exchange Board of India Infrastructure Investment Trusts Amendment Regulations, 2017: Previous amendment to the Securities and Exchange Board of India Infrastructure Investment Trusts Regulations, 2014.
Securities and Exchange Board of India Infrastructure Investment Trusts Amendment Regulations, 2018: Previous amendment to the Securities and Exchange Board of India Infrastructure Investment Trusts Regulations, 2014.
Securities and Exchange Board of India Infrastructure Investment Trusts Amendment Regulations, 2019: Previous amendment to the Securities and Exchange Board of India Infrastructure Investment Trusts Regulations, 2014.
Securities and Exchange Board of India Infrastructure Investment Trusts Amendment Regulations, 2020: Previous amendment to the Securities and Exchange Board of India Infrastructure Investment Trusts Regulations, 2014.
Securities and Exchange Board of India Regulatory Sandbox Amendment Regulations, 2020: Previous amendment.
Securities and Exchange Board of India Infrastructure Investment Trusts Second Amendment Regulations, 2020: Previous amendment to the Securities and Exchange Board of India Infrastructure Investment Trusts Regulations, 2014.
Securities and Exchange Board of India Infrastructure Investment Trusts Amendment Regulations, 2021: Previous amendment to the Securities and Exchange Board of India Infrastructure Investment Trusts Regulations, 2014.
Securities and Exchange Board of India Regulatory Sandbox Amendment Regulations, 2021: Previous amendment.
Securities and Exchange Board of India Infrastructure Investment Trusts Amendment Regulations, 2022: Previous amendment to the Securities and Exchange Board of India Infrastructure Investment Trusts Regulations, 2014.
Madhabi Puri Buch: Chairman of SEBI.
Government of India Press, Ring Road, Mayapuri, New Delhi: Location of printing of document
रजजस्ट्री स.ं डी.एल.- 33004/99 REGD. No. D. L.-33004/99
xxxGIDHxxx
सी.जी.-एम.एxxचxG.-IअDE.-x1x0x 112022-240161
CG-MH-E-10112022-240161
असाधारण
EXTRAORDINARY
भाग III—खण् ड 4
PART III—Section 4
प्राजधकार स ेप्रकाजित
PUBLISHED BY AUTHORITY
स.ं 552] नई क्रदल्ली, ब धिार, निम्ब र 9, 2022/कार्ततक 18, 1944
No. 552] NEW DELHI, WEDNESDAY, NOVEMBER 9, 2022/KARTIKA 18, 1944
भारतीय प्रजतभजू त और जिजनमय बोड ड
अजधसचू ना
मब ं ई, 9 निम् बर, 2022
भारतीय प्रजतभजू त और जिजनमय बोडड
(अिसरं चना जनििे न्यास) (दसू रा सिं ोधन) जिजनयम, 2022
स.ं सबे ी/एलएडी-एनआरओ/जीएन/2022/101.—बोडड, भारतीय प्रजतभूजत और जिजनमय बोड डअजधजनयम, 1992
(1992 का 15) की धारा 11 तथा धारा 12 के साथ पठित धारा 30 के तहत प्रदान की गई िजियों का प्रयोग करत े हुए,
एतद्द्वारा भारतीय प्रजतभूजत और जिजनमय बोडड (अिसंरचना जनिेि न्यास) जिजनयम, 2014 का और संिोधन करने के जलए
जनम्नजलजखत जिजनयम बनाता ह,ै अथाडत:् —
1. इन जिजनयमों को भारतीय प्रजतभूजत और जिजनमय बोडड (अिसंरचना जनिेि न्यास) (दसू रा संिोधन) जिजनयम,
2022 कहा जा सकेगा ।
2. ये जिजनयम 1 जनिरी, 2023 को लाग ूहोंग े।
3. भारतीय प्रजतभूजत और जिजनमय बोड ड (अिसंरचना जनिेि न्यास) जिजनयम, 2014 में, —
(1) जिजनयम 14 म,ें उप-जिजनयम (5) के बाद, जनम्नजलजखत जिजनयम जोड़ा जाएगा, अथाडत ् —
“(5क) कोई भी अिसंरचना जनिेि न्यास अध्याय - VIक के तहत कोई क्रियाकलाप नहीं करेगा ।”
(2) जिजनयम 17 म,ें
(क) उप-जिजनयम (1) म,ें खंड (ङक) हट जाएगा;
(ख) उप-जिजनयम (6) म,ें परंत क हट जाएगा;
7430 GI/2022 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART III—SEC.4]
(3) जिजनयम 22 म,ें
(क) उप-जिजनयम (5ख) हट जाएगा;
(4) जिजनयम 26क में,
(क) उप-जिजनयम (1) म,ें िब्द और जचह्न “जो इन जिजनयमों के अन सार जनजी स्ट्थानन (प्राइिेट
प्लेसमेंट) आधार पर यूजनटें जारी (जनगडजमत) करन े का प्रस्ट्ताि करता हो या” हट जाएगँ ;े
(ख) उप-जिजनयम (2) हट जाएगा;
(ग) उप-जिजनयम (3) म,ें िब्द और जचह्न “जो इस अध्याय के प्रािधानों के अन सार यूजनटें जारी
(जनगडजमत) कर रहा हो /” हट जाएँगे;
(5) जिजनयम 26ख में, उप-जिजनयम (1) हट जाएगा;
(6) जिजनयम 26ग म,ें उप-जिजनयम (1) हट जाएगा;
(7) जिजनयम 26घ म,ें उप-जिजनयम (1) और उप-जिजनयम (2) हट जाएगा;
(8) जिजनयम 26च म,ें
(क) जिजनयम 26च का प्रािधान उप-जिजनयम (1) के रूप में संखयांक्रकत हो जाएगा;
(ख) उप-जिजनयम (1) के बाद, जनम्नजलजखत उप-जिजनयम जोड़ा जाएगा, अथातड ् —
“(2) इन जिजनयमों में दी हुई क्रकसी बात के होते हुए भी, बोडड उन अिसंरचना जनिेि न्यासों को,
इन जिजनयमों से, कोई छूट प्रदान कर सकेगा जजन्होंने इस अध्याय के प्रािधानों के अन सार यूजनटें
जारी की हों, ताक्रक ऐसे अिसरंचना जनिेि न्यासों की यूजनटों को उस मान्यताप्राप्त स्ट्टॉक एक्सचेंज
में सूचीबद्ध (जलस्ट्ट) करिाना आसान हो सके जजसके राष्ट्रव्यापी रेडडग टर्तमनल हों ।”
माधबी प री ब च, अध्यक्ष
[जिज्ञापन-III/4/असा./375/2022-23]
पाद ठटप्पण :
1. भारतीय प्रजतभूजत और जिजनमय बोडड (अिसंरचना जनिेि न्यास) जिजनयम, 2014, स.ं
एलएडी/एनआरओ/जीएन/2014-15/10/1577 द्वारा, 26 जसतम्बर, 2014 को भारत के राजपत्र म ें प्रकाजित हुए
थ े।
2. भारतीय प्रजतभूजत और जिजनमय बोडड (अिसंरचना जनिेि न्यास) जिजनयम, 2014, तत्पश्चात—्
(i) 30 निम्बर, 2016 स े भारतीय प्रजतभूजत और जिजनमय बोडड (अिसंरचना जनिेि न्यास) (संिोधन) जिजनयम,
2016, स.ं सेबी/एल.ए.डी.-एन.आर.ओ./जी.एन./2016-17/021, द्वारा
(ii) 15 क्रदसम्बर, 2017 स े भारतीय प्रजतभूजत और जिजनमय बोडड (अिसंरचना जनिेि न्यास) (संिोधन)
जिजनयम, 2017, सं. सेबी/एल.ए.डी.-एन.आर.ओ./जी.एन./2017-18/024, द्वारा
(iii) 10 अप्रलै , 2018 स े भारतीय प्रजतभूजत और जिजनमय बोडड (अिसंरचना जनिेि न्यास) (संिोधन) जिजनयम,
2018 सं. सेबी/एल.ए.डी.-एन.आर.ओ./जी.एन./2018/07, द्वारा
(iv) 22 अप्रलै , 2019 स े भारतीय प्रजतभूजत और जिजनमय बोडड (अिसंरचना जनिेि न्यास) (संिोधन) जिजनयम,
2019 सं. सेबी/एल.ए.डी.-एन.आर.ओ./जी.एन./2019/10, द्वारा
(v) 2 माच,ड 2020 से भारतीय प्रजतभूजत और जिजनमय बोड ड (अिसंरचना जनिेि न्यास) (संिोधन) जिजनयम,
2020 सं. सेबी/एल.ए.डी.-एन.आर.ओ./जी.एन./2020/05, द्वारा
(vi) 17 अप्रलै 2020 स े भारतीय प्रजतभूजत और जिजनमय बोडड (रेग्यूलेटरी सैंडबॉक्स) (संिोधन) जिजनयम, 2020,
स.ं सेबी/एल.ए.डी.-एनआरओ/जीएन/2020/10, द्वारा
(vii) 16 जून, 2020 से भारतीय प्रजतभूजत और जिजनमय बोडड (अिसंरचना जनिेि न्यास) (दसू रा संिोधन)
जिजनयम, 2020 स.ं सेबी/एल.ए.डी.-एन.आर.ओ./जी.एन./2020/15, द्वारा[भाग III—खण् ड 4] भारत का राजपत्र : असाधारण 3
(viii) 30 ज लाई, 2021 स े भारतीय प्रजतभूजत और जिजनमय बोडड (अिसंरचना जनिेि न्यास) (संिोधन) जिजनयम,
2021 सं. सेबी/एल.ए.डी.-एन.आर.ओ./जी.एन./2021/27, द्वारा
(ix) 31 अगस्ट्त, 2021 स े भारतीय प्रजतभूजत और जिजनमय बोडड (रेग्यलू ेटरी सैंडबॉक्स) (सिं ोधन) जिजनयम,
2021, सं. सेबी/एलएडी-एनआरओ/जीएन/2021/30, द्वारा
(x) 4 मई, 2022 से भारतीय प्रजतभूजत और जिजनमय बोड ड (अिसंरचना जनिेि न्यास) (संिोधन) जिजनयम,
2022, सं. सेबी/ एल.ए.डी.-एन.आर.ओ./जी.एन./2022/83, द्वारा
संिोजधत हुए थ े।
SECURITIES AND EXCHANGE BOARD OF INDIA
NOTIFICATION
Mumbai, the 9th November, 2022
SECURITIES AND EXCHANGE BOARD OF INDIA INFRASTRUCTURE INVESTMENT TRUSTS)
(SECOND AMENDMENT) REGULATIONS, 2022
No. SEBI/LAD-NRO/GN/2022/101.—In exercise of the powers conferred under section 30 read with
section 11 and section 12 of the Securities and Exchange Board of India Act, 1992 (15 of 1992), the Board hereby
makes the following regulations to further amend the Securities and Exchange Board of India (Infrastructure
Investment Trusts) Regulations, 2014, namely: –
1. These regulations may be called the Securities and Exchange Board of India (Infrastructure Investment Trusts)
(Second Amendment) Regulations, 2022.
2. They shall come into force on January 1, 2023.
3. In the Securities and Exchange Board of India (Infrastructure Investment Trusts) Regulations, 2014, ─
(1) in regulation 14, after sub-regulation (5), the following shall be inserted, namely –
―(5A) No InvIT shall undertake any activity under Chapter VIA.”
(2) in regulation 17,
a. in sub-regulation (1), clause (ea) shall be omitted;
b. under sub-regulation (6), the proviso shall be omitted;
(3) in regulation 22,
a. sub-regulation (5B) shall be omitted;
(4) in regulation 26A,
a. in sub-regulation (1), the words ―proposes to issue units or‖ shall be omitted;
b. sub-regulation (2) shall be omitted;
c. in sub-regulation (3), the words and symbol ―issuing units/‖ shall be omitted;
(5) in regulation 26B, sub-regulation (1) shall be omitted;
(6) in regulation 26C, sub-regulation (1) shall be omitted;
(7) in regulation 26D, sub-regulation (1) and sub-regulation (2) shall be omitted;
(8) in regulation 26F,
(a) the provision of regulation 26F shall be numbered as sub-regulation (1);4 THE GAZETTE OF INDIA : EXTRAORDINARY [PART III—SEC.4]
(b) after sub-regulation (1), the following shall be inserted, namely —
“(2) Notwithstanding anything contained in these regulations, the Board may grant any exemptions
to the InvITs which have issued units in terms of the provisions of this Chapter, from these
regulations, for the purpose of facilitating listing the units of such InvITs on a recognized stock
exchange having nationwide trading terminals.”
MADHABI PURI BUCH, Chairman
[ADVT.-III/4/Exty./375/2022-23]
Footnotes:
1. The Securities and Exchange Board of India (Infrastructure Investment Trusts) Regulations, 2014 was
published in the Gazette of India on September 26, 2014 vide No. LAD-NRO/GN/2014-15/10/1577.
2. The Securities and Exchange Board of India (Infrastructure Investment Trusts) Regulations, 2014 was
subsequently amended by the –
(i) Securities and Exchange Board of India (Infrastructure Investment Trusts) (Amendment)
Regulations, 2016, vide No. SEBI/LAD/NRO/GN/2016-17/021, with effect from November 30,
2016.
(ii) Securities and Exchange Board of India (Infrastructure Investment Trusts) (Amendment)
Regulations, 2017, vide No. SEBI/LAD-NRO/GN/2017-18/024, with effect from December 15,
2017.
(iii) Securities and Exchange Board of India (Infrastructure Investment Trusts) (Amendment)
Regulations, 2018, vide No. SEBI/LAD-NRO/GN/2018/07, with effect from April 10, 2018.
(iv) Securities and Exchange Board of India (Infrastructure Investment Trusts) (Amendment)
Regulations, 2019, vide No. SEBI/LAD-NRO/GN/2019/10, with effect from April 22, 2019.
(v) Securities and Exchange Board of India (Infrastructure Investment Trusts) (Amendment)
Regulations, 2020, vide No. SEBI/LAD-NRO/GN/2020/05, with effect from March 02, 2020.
(vi) Securities and Exchange Board of India (Regulatory Sandbox) (Amendment) Regulations, 2020,
vide No. SEBI/LAD-NRO/GN/2020/10, with effect from April 17, 2020.
(vii) Securities and Exchange Board of India (Infrastructure Investment Trusts) (Second Amendment)
Regulations, 2020 vide No. SEBI/LAD-NRO/GN/2020/15, with effect from June 16, 2020.
(viii) Securities and Exchange Board of India (Infrastructure Investment Trusts) (Amendment)
Regulations, 2021 vide No. SEBI/LAD-NRO/GN/2021/27, with effect from July 30, 2021.
(ix) Securities and Exchange Board of India (Regulatory Sandbox) (Amendment) Regulations, 2021
vide No. SEBI/LAD-NRO/GN/2021/30, with effect from August 31, 2021.
(x) Securities and Exchange Board of India (Infrastructure Investment Trusts) (Amendment)
Regulations, 2022 vide No. SEBI/LAD-NRO/GN/2022/83, with effect from May 4, 2022.
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054.