Gangwal Family Sells ₹11,564 Crore Stake in IndiGo, Reshaping Airline’s Ownership Structure

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Posted by NewAdmin on 2025-05-28 08:55:43 |

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Rakesh Gangwal, co-founder of InterGlobe Aviation—the parent company of IndiGo Airlines—has offloaded a 5.72 percent stake in the company through a block deal valued at ₹11,564 crore. This transaction marks one of the largest open-market equity deals in recent times and involved the sale of approximately 2.21 crore shares. The divestment was carried out by the Chinkerpoo Family Trust, managed by Shobha Gangwal and the JP Morgan Trust Company of Delaware, which together represented a significant portion of the Gangwal family’s holding in IndiGo.

Following the sale, Rakesh Gangwal’s personal stake in IndiGo has decreased from 5.3 percent to 4.7 percent, while the Chinkerpoo Family Trust’s holding has dropped from 8.23 percent to 3.08 percent. This move is consistent with Gangwal’s previously announced plan to gradually reduce his stake in the airline, which he initiated after stepping down from IndiGo’s board in February 2022. Over the past two years, the Gangwal family has made several stake reductions, including a substantial sell-off in August 2024.

The recent transaction is seen as a strategic reshaping of IndiGo’s ownership structure and could have broader implications for investor sentiment and market dynamics. Financial institutions such as Goldman Sachs, Morgan Stanley, and JPMorgan were involved in managing the block deal, highlighting its scale and significance.

This development comes at a time when IndiGo continues to maintain its dominant position in India’s domestic aviation market. While the Gangwal family’s gradual exit may raise questions about long-term promoter involvement, the orderly manner in which the stake is being reduced reflects confidence in the airline’s continued operational strength. The deal also opens up opportunities for institutional investors to gain a larger foothold in one of India’s leading aviation companies.

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