India's largest airline in terms of market share, IndiGo's co-founder Rakesh Gangwal and family are looking to sell up to 3.4 percent stake in the airline through block trades, according to deal terms seen by Moneycontrol.
The stake sale is likely to fetch the sellers as much as Rs 6,831 crore or $803 million at a floor price of Rs 5,175 per share, as per the terms. Shares will likely be sold by Rakesh Gangwal and The Chinkerpoo Family Trust, who together hold a 13.5 percent stake in the airline.
The floor price is a 4.5 percent discount to IndiGo's closing price of Rs 5,420 apiece on the NSE on May 26.
Investment banks Goldman Sachs, Morgan Stanley and JP Morgan are advising Rakesh Gangwal and family on the block trades.
Gangwal and his family has previously sold large chunks of IndiGo shares in August and in March last year. The shareholders sold around 5.2 percent in the airline in August 2024 for a sum of Rs 9,549 crore, as per stock exchnage data, while in March 2024, Gangwal had sold shares worth over Rs 6,783 crore.
The stake sale is part of the Gangwal family's plans to reduce their holding in IndiGo over due course. Rakesh Gangwal had resigned from the board of directors of InterGlobe Aviation back in February 2022, stating that he will gradually reduce his stake in the low-cost airline over the next five years.
Shares of InterGlobe Aviation Limited have risen close to 20 percent since the start of 2025.
On 21 May, the company reported a profit of Rs 3,067.5 crore for the quarter ended March 31, 2025, flying into its second straight quarter in green, as strong domestic travel demand continued across India.
The biggest budget airline by market share had posted a net profit of Rs 1894.8 crore in the year-ago period. The airline's bottomline surpassed Street projection of a bottomline of Rs 2,330 crore to Rs 2,432 crore, according to an average of three brokerages.
The company's revenue from operations grew 24 percent to Rs 22,151.9 crore from Rs 17,825.3 crore last fiscal, just short of estimates of Rs 22,500 crore.
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