InterGlobe Aviation, the parent of budget airline IndiGo, saw its shares sink over four percent in trade on Thursday, August 28, as the Rakesh Gangwal family likely pared its stake via the block deal route.
At 9.30 a.m., shares were quoting Rs 5,769.5, lower by 4.6 percent after around 3.1 percent equity exchanged hands via the block deal route. This amounts to 1.2 lakh shares, worth Rs 7,085 crore at an average price of Rs 5,830 per share.
Earlier, reports noted that the Rakesh Gangwal family plans to sell up to 3.1 percent stake in InterGlobe Aviation through block deals estimated at about Rs 7,020 crore, according to a CNBC Awaaz report citing sources. The block was expected to be at a floor price of Rs 5,808 per share, which is around 4 percent lower than the last session's closing price.
This marks another step in the family’s gradual exit from IndiGo. Since Rakesh Gangwal resigned from the airline’s board in February 2022, the family has been trimming its holding, selling nearly 9 percent stake so far in 2025.
Since 2022, Rakesh Gangwal and his family have raised over Rs 45,300 crore by trimming their stake in InterGlobe Aviation. The sales include a 2.74 percent stake worth Rs 2,005 crore in September 2022, followed by a 4 percent stake offloaded by his wife, Shobha Gangwal, for Rs 2,944 crore in February 2023, and another 2.9 percent stake sold for just above Rs 2,800 crore in August 2023.
In August 2024, the family trust divested a further 5.2 percent holding for Rs 9,549 crore. In May, they offloaded shares worth nearly Rs 11,900 crore through a similar block deal.
After the latest block deal, the Gangwal family’s ownership in IndiGo will stand at 4.78 percent, valued at roughly Rs 11,169 crore.
In a recent note, Kotak Securities has noted IndiGo’s capacity cuts were likely occurring at a slightly faster pace than its key competitor, however, the brokerage clarified that it was not a sign of weakening demand. Unlike its earlier approach of adding capacity in Q2 ahead of strong Q3 and Q4 demand, IndiGo is now focusing on measures to support yield growth during the festive season, Kotak note said.
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