Indian Hotels Company (IHCL) is seeking Reserve Bank of India's (RBI) nod to divert its international operations into a new company. The company is planning to bring all its overseas hotel assets under this step-down holding company, and afterwards raise money by selling up to a 49% stake to foreign investors.
This is the entity’s second attempt at getting RBI approval for the proposal. With this restructuring exercise, and a possible stake sale, the company is planning to de-leverage, bringing its debt to a more comfortable level.
Indian Hotels Company and its subsidiaries are collectively known as Taj Hotels Resorts and Palaces. The Taj Hotels Resorts and Palaces currently has 93 hotels in 55 locations across India with an additional 16 international hotels in the Maldives, Malaysia, Australia, UK, USA, Bhutan, Sri Lanka, Africa and the Middle East.
