India’s first registered small and medium REIT (Real Estate Investment Trust), Property Share Investment Trust will soon go public. PSIT manages and acquires commercial real estate assets under its first scheme, PropShare Platina which centered around properties generating great revenue.
The PSIT plans to raise ₹352.91 crore with the book-built issue. With its first IPO, the Trust has the opportunity to raise a good amount of capital, boost recognition, etc. Investors looking forward to investing in SM-REIT can check the full IPO details here.
Property Share Investment Trust REIT IPO
The PSIT book-built IPO issue will commence on 02 December 2024, Monday till 04 December 2024, Wednesday. Investors who wish to subscribe to the PSIT shares in the IPO can take part in bidding in three days.
According to the IPO RHP, the basis of allotment of the PSIT IPO will be finalized on 05 December 2024. After the allotment, the investors can check their allotment status to know whether the shares were allotted or not. Investors who were not allotted the subscribed shares can expect a refund from 06 December 2024.
After the IPO, the trust plans to list the PSIT shares on BSE, and NSE on a tentative date of 09 December 2024. The shares credit to your Demat account will be processed from 06 December 2024. Investors looking forward to PSIT IPO can mark the following dates in their calendar:
| PSIT IPO Event | PSIT IPO Dates |
| IPO Opens on | 02 Dec 2024 |
| IPO closes on | 04 Dec 2024 |
| Refund | 06 Dec 2024 |
| Listing Date | 09 Dec 2024 |
| UPI mandate confirmation | 04 Dec 2024 at 5 PM |
Property Share Investment Trust REIT IPO Details
The PSIT plans to raise ₹352.91 crore with entirely 0 crore shares fresh issue. The total size of the PSIT IPO is 3,361 shares with a maximum price up to ₹352.91 crore. The price band of the floor price of the PSIT IPO decided by the company is ₹10 lakh to ₹10.5 lakh per equity share.
The face value of each share is ₹0 as the IPO is a completely fresh issue of ₹352.91 crore. The registrar for the Property Share Investment Trust REIT IPO will be KFin Technologies Limited and the book-running lead manager of the book-built issue is ICICI Securities Limited.
3361 shares are the current post-issue shareholdings. The SEBI regulates SM-REIT as a subclass within the REIT with values between ₹50 to 500 crore. So, interested investors can check the PSIT IPO details here to make an informed decision:
| IPO Issue | Book-Built |
| Lot size | 1 Shares |
| Total Issue Size | 3361 shares match up to ₹352.91 crore |
| Fresh Issue Size | 3361 shares matches up to ₹352.91 crore |
| Face Value | ₹0 per share |
| Price Band | ₹10 lakh to ₹10.5 lakh |
| Listing at | BSE, NSE |
| Shareholding pre Issue | 3361 |
Property Share Investment Trust REIT IPO Objective
With their first public issue, the PSIT plans to achieve the following objective and utilize the funds:
- The Trust plans to use funds to acquire Project Platins through the Platina SPVs for the reimbursement of statutory charges under the laws or commercial office space charges to the investment manager. The company plans to do this by lending the Platina SPVs or applying for Platina’s debt instruments and equity.
- Apart from this, the Trust plans to use the IPO fund for the general purposes of the corporation to excel in its work in the real estate sector and the growth of the Trust.
PSIT REIT IPO Reservation and Lot Size
The PSIT SM-REIT has reserved the shares for investors category QIB and NII from the Net shares offered in the IPO. According to the PSIT announcement, the Trust has reserved the following percentage of shares for the respective investors category:
| Investor Category | Shares Offered |
| Qualified Institutional Buyer Offered Shares | Not above than 75% of the net offered share |
| Non-Institutional Investors (HNI) Offered Shares | Not less than 25% of the net offered share |
As per the PSIT SM-REIT IPO announcement, the investors can bid for a minimum number of 1 share in one lot. The lot size of the PSIT REIT IPO is 1 share with a minimum investment amount of ₹1,050,000. Hence the maximum lots and shares for the retail investors will be zero. Investors can understand this through the following table:
| Investor Category | Lots | Shares | Amount |
| Retail (min.) | 1 | 1 | ₹1,050,000 |
| Retail (Max.) | 0 | 0 | – |
Property Share Investment Trust REIT Financial Strength
The PSIT was established in 2016 by two batchmates of IIM Ahmedabad which got the recognition as India’s first SM-REIT under the latest SM REIT guidelines. The SEBI guidelines on SM REIT sub-class resources should estimate around ₹50 and ₹500 crores.
The trust now serves around 300,000 clients from 20 nations on five continents. The Trust has trusted trustees Axis that administer the REITs, Alternative investment funds, infrastructure trusts, etc offer security, facility agents, and others. The Trust plans to establish itself strong in the Indian REIT sector, which is still growing. As the Trust has no financial statement or records, we can speculate its performance based on the REIT market in India.
According to the Indian real estate data, in the REIT market, only 13.7% is listed, and there is still potential for the remaining, which shows the potential of PSIT SM-REIT. In India, the real estate market performance depends on the region, and so is, the businesses. If we look at the reports on REITs, the small-cap REITs have outperformed with higher returns in 2023.
The reports estimate the real estate market will expand and grow to ₹65,000 crore by 2040 from 1200 crore in 2019. So, if you wish to invest in PSIT you should understand it will be a long-term investment as it will gain in the coming years only.
So, investors looking for short-term profit should not invest in PSIT, still, you should look into every aspect of PSIT before investing in the upcoming IPO.
