The exit option for dissenting unit holders would be available in case of an acquisition, change in sponsor, inducted sponsor or change in control of sponsor or inducted sponsor is triggered pursuant to an open offer.
In such cases, the exit option price would be enhanced by an amount equal to a sum determined at the rate of 10 per cent per annum for the period between the first notice date and second notice date, according to two separate circulars issued by Sebi on Tuesday.
The summary of activities pertaining to exit option/offer have to take place along the timelines prescribed by Sebi.
The regulator has also given the definition of “relevant date” in such cases which would mean the date of public announcement made for the acquisition in terms of Substantial Acquisition of Shares and Takeover Regulations, 2011.
In July 2020, Sebi had come out with a mechanism to provide an exit option to dissenting unitholders of REITs and InvITs.
