Panamanian REIT Casas Grandes lists on stock exchange

Panamanian real estate investment trust (REIT) Fideicomiso Inmobiliario Casas Grandes has successfully completed its registration with the Superintendence of the Securities Market of Panama (SMV) to list on the Latinex stock market.

Posted lundi, juillet 31 2023
Panamanian REIT Casas Grandes lists on stock exchange

The move is in compliance with the requirements to enjoy the special tax regime set forth in Panama’s tax code, and enabling the REIT to place its participation quotas through the Latin American Stock Exchange (Latinex).

The REIT was authorized by the SMV to make a share placement and has offered through Latinex 81,600 Series A shares.

REITs that comply with the above mentioned requirements of registration before the SMV, Latinex and DGI, among other additional conditions, are exempt from the payment of income tax at the corporate level.

Shareholders of a REIT pay income tax on distributions received from the REIT at the rates set forth in the Tax Code. However, all REITs are required to withhold 10% of amounts distributed to shareholders in the form of advanced income tax, which withholding the shareholder of a REIT may decide to consider as the definite and final income tax to be paid for the received distribution.

For said purpose, Panamanian law firm Morgan & Morgan Legal provided advice to Casas Grandes in registering with the SMV, and registering with the General Revenue Office (DGI) of the Ministry of Economy and Finance. 

Morgan & Morgan’s team was led by partners Ricardo Arias, Ana Carolina Castillo, Jose Rafael Reyes, and international associate Miguel Arias M.

Insignia Financial Advisors acted as arranger. MMG Bank Corporation acted as Payment and Transfer Agent, Custodian and Placement Agent of the REIT and FIM Trust acted as trustee.