Hotel Leela is in negotiations with some of its lenders to raise a total of $60.99 million for redeeming zero coupon convertible bonds due in 2012. In a filing to the Bombay Stock Exchange, the company said it has resources for approximately $30 million and is "awaiting sanction and disbursements from some of the lenders to raise the balance amount payable on redemption."

The total amount due for redemption of the bonds is $60.99 million out of which $41.6 million is towards principal and $19.39 million is towards redemption premium. The amount is falling due for payment on April 25, 2012.

"While the company is making efforts to complete this process at the earliest, the company expects that the same may be completed within 90 days at which time the company shall be able to redeem the bonds by making payment, in accordance with the terms of the bonds, subject to requisite approvals," it said in the statement.