IndiGo co-founder's family likely to sell stake worth up to $909 mn: Report

The family of IndiGo's co-founder Rakesh Gangwal was likely to sell between 5% and 8% stake in the Indian airline's parent InterGlobe Aviation Ltd, CNBC Awaaz said in a report, citing sources.

BENGALURU (Reuters) - The family of IndiGo's co-founder Rakesh Gangwal was likely to sell between 5% and 8% stake in the Indian airline's parent InterGlobe Aviation Ltd, worth up to 75 billion rupees ($909.58 million), CNBC Awaaz said in a report, citing sources.

Rakesh Gangwal and his wife, Shobha Gangwal, hold 13.23% and 2.99% respectively in InterGlobe as of March 31, while their Chinkerpoo Family Trust holds a 13.5% stake, according to exchange data.

The Gangwal family will likely sell stake in block deals when the lock in for shares open on July 15, the report said.

Shobha Gangwal had cut her stake in the company by over 4% in February.

 

Interglobe Aviation and a representative for the Gangwal family did not immediately respond to Reuters' request for comment.

Rakesh Gangwal resigned from the company's board in Feb. 2022 and had said that he would cut his stake in the airline over five years.

Rakesh Gangwal and Rahul Bhatia, who co-founded IndiGo in 2006, fell out in early 2020 when the former sought to modify certain rules in the company's articles of association.

Shares of the company, which are up over 19% year to date, fell as much as 3.1% after the stake sale report.

($1 = 82.4560 Indian rupees)

(This story has been refiled to correct a typo in paragraph 5)

(Reporting by Sethuraman NR and Varun Vyas in Bengaluru; additional reporting by Tanvi Mehta in New Delhi; Editing by Nivedita Bhattacharjee)

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)