IndiGo co-founder Rakesh Gangwal's family, which owns 29.72 per cent stake in InterGlobe Aviation that operated the low-cost airline, is likely to divest shares worth Rs 3,740 crore through a block deal on Wednesday, according to reports.
Morgan Stanley, Goldman Sachs and JP Morgan are the bankers assisting the block sale. Following this, shares of the company plummeted up to 4.84% to Rs 2,425 apiece on the BSE.
In a bid to prune the family's stake in the company, the co-founder put 15.6 million shares on the block, which is 4 per cent of the Gangwals' outstanding shares. The floor price for the deal was Rs 2,400 per share, which was a 5.8 per cent discount to the last closing price of Rs 2,549 per share on Monday, said reports.
Out of the family's 29.72 per cent, Gangwal owns 13.23 per cent of the company while his wife, Shobha Gangwal, held a 2.99 per cent stake in the airline and their Chinkerpoo Family Trust held a 13.5 per cent stake, according to exchange filings.
The family, which owned 36.66 per cent of IndiGo in June 2022, offloaded 2.8 per cent share for Rs 2,000 crore in September 2022 after a long dispute with co-founder Rahul Bhatia was settled.
The two-co-founders got into the dispute in 2019 when Gangwal blamed Bhatia over lack of corporate governance and a clause in the company’s article of association that prevented co-founders from buying publicly-listed shares in InterGlobe. Bhatia and his family own more than 38.05 per cent stake
This February, a year after Gangwal quit IndiGo’s board, his family sold 4 per cent of its stake in the airline for Rs 2,900 crore.