Indian Hotels opened over 4.5% lower at Rs.195.40 and went down further to Rs.194.50, not too far from its 10% UC of the day at Rs.184.35.

Tata Sons, the parent company of Indian Hotels holding 41% stake is planning to sell up to 8% to enable raising around Rs.2000 crore via qualified institutional placement (QIP) in the next two weeks.

The company plans to use the money to bring down its debt, which at end of Q3FY22 stood at Rs.1905 crore, down from Rs.3110 crore as at 31st March 2021.

With the QIP issue, the company will be able to become net debt free.