InterGlobe Aviation, the parent company of IndiGo, saw its shares rise by 5% to Rs 3,262 on the morning of March 12, marking a second consecutive day of gains. This uptick followed news of Morgan Stanley Asia purchasing a 0.5% stake in India’s largest airline, equivalent to 21 lakh shares.
Additionally, Rakesh Gangwal, co-founder of IndiGo, sold a 5.8% stake in the airline for Rs 6,785 crore on March 11.
Morgan Stanley acquired these shares at an average price of Rs 3,015, representing a 6.3% discount from the previous closing price of Rs 3,218.
As a result of this transaction, Gangwal’s stake in India’s largest airline now stands at 6%, leading to a decrease in the promoter group’s holding in the company to 57.3%, according to exchange data.
At 9:20 am, shares of InterGlobe Aviation (IndiGo) were trading at Rs 3,218 on the National Stock Exchange, reflecting a 3.6% increase from the previous close. Over the past year, the stock has witnessed an impressive surge of 70%.
Following Rakesh Gangwal’s decision to step down in February 2022 and his subsequent plans to reduce his family’s stake, notable changes have occurred. In February, the Gangwal family sold a 4% stake for Rs 2,900 crore, followed by another sale of a 2.8% stake worth Rs 2,000 crore in September. Moreover, in August, the family divested a stake valued at $450 million in a block deal.
In the third quarter of the ongoing fiscal year, IndiGo reported a remarkable 111% increase in net profit, driven by sustained demand for air travel and the introduction of a fuel surcharge in October. Net profit surged to Rs 2,998.12 crore, up from Rs 1,422.6 crore in the corresponding period last year. Additionally, revenue witnessed robust growth, increasing by 30% to Rs 19,452.15 crore.
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