IndiGo block deal: 2.26 crore shares worth ₹11,928 crore change hands; stock down over 2%; check details

The exact transaction details are yet to be released. Stock exchanges, BSE and NSE, generally, release these details by the end of the trading day.

Earlier, news reports said that the company's promoter Rakesh Gangwal and his family trust were likely to offload up to 3.4% stake worth at least ₹6,831 crore in the airline today.

Gangwal, the co-founder of IndiGo, has been offloading his holding in a phased manner following a bitter fallout with co-founder Rahul Bhatia.

Investment banking firms Goldman Sachs (India) Securities Pvt Ltd, Morgan Stanley India Company and J P Morgan India, were reported to be the placement agents for the stake sale.

Currently, Gangwal and the family trust together hold about 13.5% in IndiGo.

IndiGo block deal: Key details

The news reports had said that under the proposed transaction, to be executed on May 27, up to 1.32 crore equity shares will be sold at a floor price of ₹5,175 per share, as per the term sheet accessed by PTI.

The floor price was reported to be at a 4.5% discount compared to the closing price of ₹5,420 per share on Monday.

The PTI report, which quoted sources, said 1.32 crore shares will amount to around a 3.4% stake in the company, and the offer size, based on the floor price, is pegged at around $803 million or about ₹6,831 crore.

The proposed share sale, to be done in multiple tranches on BSE and NSE, will be entirely secondary in nature and will not have any fresh issuance of equity.

As part of the deal structure, a 150-day lock-up period will apply to the vendors and their immediate relatives, barring one exception – they may transfer shares worth at least USD 300 million to a single investor or investor group through a negotiated transaction, subject to certain pricing and lock-up conditions.

IndiGo block deal: Previous stake sales

In August 2024, Rakesh Gangwal's family trust sold a 5.24% stake in the airline for ₹9,549 crore. Before that, Gangwal had sold shares of IndiGo in March.

The share sale is part of Gangwal's decision in February 2022 to trim his shareholding after a bitter feud with co-founder Rahul Bhatia over alleged corporate governance issues.

Since February 2022, Gangwal and his wife, Shobha Gangwal, have been offloading their shares in IndiGo.

In September 2022, Rakesh Gangwal and Shobha Gangwal sold a 2.74% shareholding for ₹2,005 crore. In February 2023, Shobha Gangwal divested a 4% stake in the company for ₹2,944 crore. Later in August, Shobha Gangwal sold a nearly 2.9% stake in the company for a little over ₹2,800 crore.

IndiGo Q4 results

InterGlobe Aviation reported a net profit of ₹3,068 crore for the January-March quarter (Q4 FY25), marking an increase of 62% from ₹1,895 crore logged during the same period last year.

Its revenue from operations rose 24% to ₹22,152 crore in the fourth quarter of the financial year 2024-25 from ₹17,825 crore in the year-ago period.

The Gurugram-based company reported strong operational performance as its EBITDAR, also known as earnings before interest, taxes, depreciation, amortisation and rent, rose 57% to ₹6,948 crore as against ₹4,412 crore. Its EBITDAR margin improved by 660 basis points to 31.4% from 24.8% in the same period last year.

Driven by strong demand for air travel and execution of our strategy, for the financial year ended March 2025, IndiGo reported a healthy net profit of ₹7,258.4 crore. Excluding the impact of foreign exchange, IndiGo reported a net profit of ₹8,867.6 crore, maintaining similar strong performance to the last year, IndiGo said in a press release.