Indian Hotels Company to raise Rs 150 crore

Indian Hotels Company, on Thursday after the market hours, informed the bourses that its borrowings committee has approved the allotment of 1,500 rated, unsecured, listed, redeemable, non-convertible debentures (NCDs) of a face value of Rs 10 lakh, aggregating to Rs 150 crore, by way of a private placement, to Axis Bank.

The hotel industry is one of the most-hit industries owing to the outbreak of COVID-19 virus. Literally, the entire world has come to a standstill as most of the countries are under lockdown.

The NCDs are proposed to be listed on the wholesale debt market segment of National Stock Exchange of India (NSE) within 20 days from the deemed date of allotment. Its tenure is of three years from the deemed date of allotment i.e. April 23, 2020 while, its maturity date is on April 23, 2023, on which the principal amount is to be paid. The coupon payable is 7.50 per cent, to be paid annually on April 23 every year.

The stock of Indian Hotel today opened at Rs 79 apiece and later touched an intraday high of Rs 80.55. However, eventually, it fell and at 12.25 mm, it was trading at Rs 77.9, down by 1 per cent from its previous close.