Shares of InterGlobe Aviation, which operates IndiGo, saw a nearly 5 percent rise to Rs 3,262 on the morning of March 12, marking a second consecutive day of gains after Morgan Stanley Asia acquired half a percent, or 21 lakh shares, in India’s largest airline.
On March 11, Rakesh Gangwal, the co-founder of IndiGo, sold a 5.8 percent stake in the airline for Rs 6,785 crore.
Morgan Stanley acquired shares at an average price of Rs 3,015, reflecting a discount of 6.3 percent from the previous closing price of Rs 3,218.
Following the transaction, Gangwal’s stake in India’s biggest airline now stands at 6 percent, leading to a reduction in the promoter group’s holding in the company to 57.3 percent, as per exchange data. Gangwal had stepped down in February 2022 and announced intentions to dilute his family’s stake. In February, the Gangwal family sold a 4 percent stake for Rs 2,900 crore and further divested a 2.8 percent stake, valued at Rs 2,000 crore, in September. The most recent block deal occurred in August when the family offloaded a stake worth $450 million.
In the third quarter of the current fiscal, the airline witnessed an 111 percent increase in net profit, driven by sustained demand for air travel and the implementation of a fuel surcharge in October. Net profit surged to Rs 2,998.12 crore, up from Rs 1,422.6 crore in the year-ago period, while revenue grew 30 percent to Rs 19,452.15 crore.
As of 10:33 am, the shares were trading 1.25 percent higher at ₹3,258.70.
