IndiGo Co-Founder Rakesh Gangwal Selling $800 Million Stake via Block Deal

GURUGRAM- Rakesh Gangwal, co-founder of InterGlobe Aviation, prepares to sell up to $804 million of his stake in IndiGo Airlines (6E) through a block deal.

ET Now reports the floor price may be set at Rs 4,593 per share, a 5.5% discount from the current market value.

Photo: IndiGo LinkedIn Page

IndiGo Rakesh Gangwal Stake

Gangwal announced plans to gradually reduce his holdings after resigning from the board in February 2022. His wife, Shobha Gangwal, has already exited the airline completely.

The Gangwal family, including their trust, held nearly 34% stake in IndiGo as of December 2023. Rakesh Gangwal currently owns 5.89% of India’s largest air carrier, while the Chinkerpoo Family Trust holds 13.49%.

This sale marks Gangwal’s fifth block sale of IndiGo shares in two years. Earlier in 2024, he offloaded a 5.8% stake for Rs 6,786 crore. In August 2023, Shobha Gangwal sold a 4% stake for approximately Rs 2,944 crore.

The timing of this sale aligns with IndiGo’s stock trading near record highs, driven by growing retail investor interest and strong corporate earnings. IndiGo shares have surged about 95% over the past year.

Gangwal’s decision to sell comes as demand for Indian equities continues to rise. On Wednesday, IndiGo’s stock closed 2.4% higher at Rs 4,863 on the National Stock Exchange.

The Board of Directors of Southwest Airlines (WN) has appointed Rakesh Gangwal, co-founder of IndiGo as a member, effective July 7.

In addition to his role on the board of InterGlobe Aviation, Rakesh Gangwal has served on several other public company boards, including US Airways Group, CarMax, Office Depot, OfficeMax, and PetSmart.

Continue Reading Here: IndiGo Co-founder Gangwal Joins Southwest Airlines Board of Directors – Aviation A2Z

Photo: Khabri Lal X page

Business Class Stretch

India’s largest domestic carrier, IndiGo Airlines recently unveiled the business-class stretch, its most-awaited loyalty program BluChip, and much more.

The largest Airbus A320 family customer IndiGo is celebrating its 18th anniversary and held a special event at its headquarters in Gurugram.

IndiGo Stretch, its new business class will be available on 12 metro routes from Delhi (DEL).

CEO Pieter Elbers announced the new offering at a Delhi event, emphasizing its tailored approach for busy business routes. IndiGo Stretch will feature 12 business class seats per aircraft and offer curated meals.

The world’s third-largest carrier in terms of valuation, IndiGo, plans to expand its international presence significantly. Elbers stated the airline will add seven new international destinations by the end of FY2024-25, bringing the total to 40.

What are your thoughts on the IndiGo co-founder’s decision to sell a stake? Let us know in the comments section.

Join us on Telegram Group for the Latest Aviation Updates. Subsequently, follow us on Google News.

The post IndiGo Co-Founder Rakesh Gangwal Selling $800 Million Stake via Block Deal appeared first on Aviation A2Z.