India-based hotel chain EIH has unveiled plans to raise up to Rs13bn ($285.4m) through a rights issue of shares.

The hotel board has set up a committee to finalise the rights ratio, issue price and other procedural modalities.

The company has not disclosed how it will use the funds, according to Reuters.

Reliance Industries, which acquired a 14.12% stake in the hotel chain, is expected to raise its holding through the rights issue.

The Oberoi Hotel Group owns 32% stake in EIH following the Reliance deal.