IndiGo shares fall over 4% after reports of a block deal

The stock price had touched a low of Rs 1,897 on Thursday, falling 4.48 per cent, against the previous close of Rs 1,912.05 on the NSE. The market capitalisation of the company stood at Rs 7,331,178.

IndiGo's market capitalisation stood at Rs 7,331,178 on Thursday. (File image)

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Shares of Interglobe Aviation, the parent company of IndiGo, fell by over four per cent in early trade Thursday, following reports of a block deal. The company’s shares were trading at Rs 1,903.10 on the National Stock Exchange at 11.30 am.

The stock price had touched a low of Rs 1,897 on Thursday, falling 4.48 per cent, against the previous close of Rs 1,912.05 on the NSE. The market capitalisation of the company stood at Rs 7,331,178.

The aviation company’s stock crashed after a report stated that Shobha Gangwal will offload around 4 per cent stake in IndiGo through a block deal. Shobha is the wife of IndiGo’s co-founder Rakesh Gangwal.

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While the same has not been officially announced yet, the BSE data at 9.15 am showed that nearly 16.08 million shares, 4.17 per cent of total equity, had changed hands through a block deal.

Rakesh holds 13.24 per cent stake in InterGlobe Aviation, while his wife Shobha holds 7.04 per cent, showed the shareholding pattern of the aviation company as of December 31, 2022.

As per reports, the block deal has been launched for 1.56 crore shares, the offer floor price of which has been set at Rs 1,875 per share.

This block deal would be the second such share sale in six months by the Gangwal family. Last September, Rakesh and Shobha sold 2.74 per cent stake in IndiGo at around Rs Rs 2,005 crore.

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Rakesh resigned from the board of the company last year and has said he will reduce his stake in InterGlobe Aviation over the next five years.