**IndiGo Co-Founder Rakesh Gangwal to Sell $1.35 Billion Stake**
Rakesh Gangwal, co-founder and promoter of IndiGo, is poised to divest shares worth $1.35 billion in the airline through a block deal scheduled for May 27. This information comes from a term sheet reviewed by industry sources. Initially, it was reported that Gangwal would sell shares valued at $803 million, but the transaction size has since increased.
According to the updated details, Gangwal and his Chinkerpoo Family Trust plan to sell 22.1 million shares, representing a 5.7% stake in InterGlobe Aviation Ltd, which operates IndiGo, India’s largest airline. The shares will be offered at ₹5,230.5 each, reflecting a 3.5% discount from the stock’s closing price of ₹5,418 on the Bombay Stock Exchange (BSE) on Monday.
As of March 30, 2025, Gangwal held a 5.3% stake in the company, while the Chinkerpoo Family Trust owned 8.23%, according to BSE data. This marks a significant decrease from November 2015, when Gangwal owned 16.89% and the trust held 15.64%.
Goldman Sachs (India) Securities Pvt, Morgan Stanley India Co, and J.P. Morgan India Pvt are facilitating the transaction. While Goldman Sachs declined to comment, requests for comments from Gangwal, Morgan Stanley India, and J.P. Morgan India went unanswered.
IndiGo’s shares have appreciated approximately 18% over the past year, closing 1.76% lower at ₹5,418 on Monday. Gangwal has been gradually reducing his stake in the airline following a settlement with co-founder Rahul Bhatia, having sold a 5.83% stake on August 29, 2024, after a similar sale on April 11, 2024.
In its latest earnings report, IndiGo announced a 62% increase in profits for the fourth quarter ending in March, attributed to a surge in air travel during the Mahakumbh festival. The airline is also focusing on international expansion, having damp-leased six Boeing 737 widebody aircraft, with one already in operation on the Delhi–Bangkok route. Additionally, IndiGo is targeting cargo revenue as a significant growth area, noting that India currently holds a single-digit share of international air cargo, indicating substantial potential for growth.
IndiGo maintains a strong position in the domestic market, commanding over 60% market share and covering 89 destinations. The airline is well-positioned to benefit from increased infrastructure spending at key airports and the development of new airports in emerging micro markets.
**FAQ**
*What is the significance of Rakesh Gangwal’s share sale?*
Rakesh Gangwal’s planned sale of shares represents a strategic move to reduce his stake in IndiGo, reflecting changes in ownership dynamics and potentially impacting the airline’s market perception.
