Property Share - Platina IPO review (May apply)

•    PropShare Platina REIT is the maiden offer from this Trust.
•    It has no financial track record so far as it started only from August 2024.
•    The minimum application amount is Rs. 10 lakhs per unit.
•    Well-informed HNIs/Corporates and Institutional investors may park funds for long term.
•    The Units will be listed on BSE only. 

ABOUT COMPANY:
The Property Share Investment Trust ("REIT) is India's first registered Small and Medium Real Estate Investment Trust. The object and purpose of the REIT is to carry on the activity of a small and medium real estate investment trust through one or more Schemes, as permitted under the REIT Regulations. Each Scheme may have its own investment objectives, in accordance with the REIT Regulations. The investment of the Schemes shall only be in completed and revenue generating real estate properties through SPVs. 

The Property Share Investment Trust was settled on June 27, 2024, at Bangalore, Karnataka, India as contributory, determinate and irrevocable trust under the provisions of the Indian Trusts Act, 1882, pursuant to a trust deed dated June 27, 2024 as amended on July 19, 2024. The Trust was registered with SEBI on August 5, 2024 as a small and medium real estate investment trust under Regulation 26L (1) of the REIT Regulations having registration number IN/SM-REIT/24-25/0001. The Trust has been settled by the Investment Manager for an aggregate initial sum of Rs. 0.02 million. Also, the first scheme of the Trust i.e. PropShare Platina has been settled by the Investment Manager.

The principal place of business of the Property Share Investment Trust is situated at 16th Floor, SKAV Seethalakshmi, 21/22, Kasturba Road, Bangalore 560001, India.

The PropShare Platina is the first scheme of the REIT and includes commercial office spaces in Bangalore. 

INVESTMENT OBJECTIVES:
The investment objective of the Trust shall be to make investments as a small and medium real estate investment trust as permissible in terms of the REIT Regulations. The investment of the Trust shall only be in accordance with the REIT Regulations, including in such schemes and special purpose vehicles or real estate properties (whether completed or otherwise) thereunder, securities in India or transferable development rights as permitted under the REIT Regulations. The Trust will achieve its objectives through multiple schemes thereunder. The principal investment objective of the Trust is to own, operate and invest in rent or income generating retail real estate assets and any other assets in India in accordance with the REIT Regulations.

As on the date of this Trust Offer Document (in accordance with the REIT Regulations), the Trust is not permitted to undertake any activity which is prohibited under the REIT Regulations. Subject to the restrictions and requirements of applicable law, the Property Share Investment Trust may not carry on any other principal activity.

INVESTMENT MANAGER:
In accordance with the eligibility criteria specified under the REIT Regulations, the Investment Manager had a net worth of not less than Rs.200 million as on November 16, 2024. The Investment Manager, as on the date of this Trust Offer Document satisfies the above requirement. As required under the REIT Regulation, the key managerial personnel of the Investment Manager have more than five years of experience in real estate industry or real estate fund management. The Investment Manager confirms that it has and undertakes to ensure that it will at all times maintain adequate infrastructure, and sufficient key personnel and resources to perform its functions, duties and responsibilities with respect to the management of the Property Share Investment Trust, in accordance with the REIT Regulations, the Investment Management Agreement and applicable law.

ISSUE DETAILS/CAPITAL HISTORY:
The Trust is coming out with its maiden IPO of fresh Units worth Rs. 353.00 cr. (approx. 3362 Units at the upper cap). The offer is being made in accordance with the ReIT Regulations and the SEBI Guidelines. The Trust has announced a price band of Rs. 10 Lakh - Rs. 10.5 Lakh per Unit. The issue opens for subscription on December 02, 2024, and will close on December 04, 2024. The minimum application to be made is for 1 Unit and in multiples thereon, thereafter. Post allotment, it will be listed on BSE. The Trust will utilize Rs. 339.00 cr. for acquisition of Project Platina by Platina SPVs, and the rest for general corporate purposes.

The Trust has allocated 75% for Institutional Investors and 25% for Non-Institutional Investors. 5% will be subscribed by the Investment Manager and the rest for other categories of investors. The minimum trading lot shall be worth Rs. 10 Lakh or such number of Units which are not less than Rs. 10 Lakh. This being the maiden offer, no NAV or other details are available. 

The Platina Units have not been and will not be registered, listed or otherwise qualified in any other jurisdiction outside India and may not be offered or sold, and Bids may not be made by persons in any such jurisdiction, except in compliance with the applicable laws of such jurisdiction.

The REIT aims to make investment or re-investments, including in completed and revenue generating real estate properties under Schemes through SPVs and other investments (including liquid assets and any business of operation and maintenance of any REIT Assets). The REIT will also hold amounts pending investment or distribution (Net Distributable Cash Flows distributed to the Unitholders of each Scheme), or as a reserve of the Scheme's anticipated obligations.

The REIT is managed by a dedicated and experienced team of employees of the Investment Manager, who have a rich experience in the real estate industry or real estate fund management.

The issue is solely lead managed by ICICI Securities Ltd., while PropShare Investment Manager Pvt. Ltd. is the investment Manager. Axis Trustee Services Ltd. is the Trustee to the Units offered. 

FINANCIAL PERFORMANCE:
No Financial data is available as this Trust was started only in August 2024, and this is the maiden public offer from them. 

INCOME DISTRIBUTION:
The trust will follow the income distribution policy in accordance with the applicable rules and regulations and Income Tax Act.