Shares in Thomas Cook (India) Ltd rose as much as 16% in early trade on Thursday, a day after its UK-based parent Thomas Cook Group Plc said it will look to sell its stake in the Indian travel operator.

Shares in the company rose their maximum daily limit of 20% on Wednesday after the announcement.

India's Mercury Travels, Cox & Kings, Chinese firm HNA and foreign exchange group Travelex could be interested in Thomas Cook's Indian business, a business daily reported last month.

The shares were up 11% at Rs 59.80 at 9:16 a.m. The overall market was down 0.2%.