Indian Hotels will raise Rs 844 crore with a rights issue of shares and another Rs 900-1080 crore in a rights issue of unsecured debentures that can be converted into shares after two years.
The equity issue would be priced at Rs 70 per share. The debentures would have a face value of between Rs 150 and 180, and would be able to be converted into shares after two years at a price of Rs 150 to 180.
Indian Hotels’ shares were up 3.7 per cent at Rs 140.9 at 0906 GMT, off an intra-day peak of Rs 144, in a Mumbai market up 0.8 per cent.