Indian Hotels shares in news today post infusion of $6.5 mn into subsidiary

Shares of Indian Hotels Ltd are in news today after the Tata Group firm said it has infused US$ 6.5 mn as equity in IHOCO BV, its wholly owned subsidiary in Netherlands. IHOCO BV to further make investment in its subsidiary viz. United Overseas Holding Inc in USA to repay its debt and for other operational purposes.

The hotel stock closed 2.05% higher at Rs 568.55 in Tuesday’s trade. The stock touched its record high of Rs 602.75 on February 23, 2024.

Total 1.22 lakh shares of the firm changed hands amounting to a turnover of Rs 6.89 crore on BSE. Market cap of the firm rose to Rs 82,132 crore on BSE. The Tata Group’s multibagger stock fell to a 52-week low of Rs 302 on March 28, 2023.  

“Pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with Schedule III of the SEBI Listing Regulations, we wish to inform you that The Indian Hotels Company Limited (‘the Company’) has infused US$ 6.5 mn as equity in its Wholly Owned Subsidiary in Netherlands i.e. IHOCO BV on March 26, 2024. The investment amount will be used by IHOCO BV to further make investment in its subsidiary viz. United Overseas Holding Inc in USA to repay its debt & for other operational purposes,” said Indian Hotels.

In terms of technicals, the relative strength index (RSI) of the stock stands at 55.1, signaling it's trading neither in the overbought zone nor in the oversold zone. Indian Hotels stock is trading higher than the 10 day, 20 day, 50 day, 100 day and 200 day moving averages. The stock has risen 30 percent in 2024 and gained 83% in a year.