GMR Hyderabad International Airport (GHIAL), a step down subsidiary of GMR Infrastructure (GIL), has decided to sell its hotel project near Hyderabad airport under the Swiss Challenge mode.

BusinessLine had reported ''GMR Group plans to sell Hyderabad airport hotel'' on Aug. 26,2015.

The infrastructure company has initiated the process of divesting its equity stake in GMR Hotels and Resorts (GHRL) that owns and manages Novotel Hyderabad Airport Hotel in 2013-2014, the company said.

However, as no binding agreement could be reached with any of the bidders, GHIAL could not conclude the divestment process.

GMR Airports (GAL) had offered to acquire GHIAL's stake in GHRL. The board of GHIAL could not decide on the offer and suggested bidding process under Swiss Challenge method.

Based on the suggestion of the board of directors, GHIAL has now recommenced the bidding process under a Swiss Challenge method, wherein the price offered by GAL earlier, would be the floor price.

GHIAL has invited Expression of Interest (EoI) for acquiring 100% equity stake in GHRL.

The bidding process is at a very early stage of calling for EoIs and based on any interest received over and above the floor price, the GHIAL board will take a suitable decision.

Shares of the company declined Rs 0.6, or 4.91%, to settle at Rs 11.63. The total volume of shares traded was 1,547,785 at the BSE (Friday).