Indian Hotels Company (IHCL) of TATA group, has sought the Reserve Bank of India's approval to hive off its international operations into a new company, persons with direct knowledge of the matter said. 

IHCL plans to bring all its overseas hotel assets under this step-down holding company, and subsequently raise money by selling up to a 49% stake to foreign investors, the sources, who asked not to be named, told ET. 

IHCL, the largest Indian hotel company, operates over 100 hotels under brands such as Taj and Vivanta across the world. This is the company's second attempt at getting RBI approval for the proposal. The bank had shot down an earlier plan as the proposed structure had many levels of offshore subsidiaries which the central bank was not comfortable with. Structures of this sort are not permitted under new provisions of the Companies Act. The new law does not allow creation of subsidiaries two levels below the holding company. The sources quoted earlier said the new plan has resolved these issues. 

As on March 31, 2013, IHCL had a consolidated debt of around Rs 3,800 crore, which, according to analysts, is putting pressure on its balance sheet. With this restructuring exercise, and a possible stake sale, the company is hoping to de-leverage, bringing its debt to a more comfortable level. IHCL declined to comment. "The company wants to monetise its international operations to repay a part of the debt. 

Currently, the overseas assets are held by different holding companies and that needs to be restructured via transfer of shares within the company," one person said. He said no firm has yet been given the mandate for the stake sale. 

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