Interglobe Aviation Ltd (NSE: INDIGO) Shares: Currently, there is a selling pressure on the share of InterGlobe Aviation, the parent company of the massive aviation giant IndiGo.
The reason is due to the news of IndiGo’s promoter and co-founder Rakesh Gangwal selling his stake in it has turned the market negative about IndiGo’s shares.
According to a report from an anonymous person who is a source Rakesh Gangwal can sell shares worth Rs 10,300 crore.
The selling of shares for Rs 6,750 crore was believed to be however, we have been informed by the source of the sale that is more than that, which means the amount of the block deal has grown.
Because of this, the share traded today in the price falling by 2.06 percent to Rs 4,758.95 on the BSE. The intra-day trading session saw it fall 2.97 percent to Rs 4,714.90.
At What Price Will The Block Deal Of IndiGo Shares Be Held?
Rakesh Gangwal can sell the 5.5 percent stake to Indigo’s parent InterGlobe Aviation for about Rs 10,300 crore. This share could be sold for Rs 4,593.
This is at a discount of around 5.48 percent. Based on the pattern of shareholding in June 2024, Rakesh Gangwal’s stake amounts to 5.89 percent.
He and his wife Shobha Gangwal as well as Delaware’s JPMorgan Trust hold a 13.49 percent stake.
Rakesh Gangwal resigned from the Board of Directors of InterGlobe Aviation in February 2022 and later stated that he was going to gradually decrease his share in InterGlobe Aviation over five years.
What Is The Brokerage Trend On IndiGo?
For the quarter that began in the financial year 2024-25, which runs from April to June 2024, the profit of InterGlobe Aviation declined 11.5 percent year-on-year and was at Rs 2,736 crore.
However, it was better than what the market had expected and the main reason was the dramatic increase in travel to the domestic market in the quarter of June.
A renowned brokerage company says that its operational performance has been consistently surprising over the past one and a half years.
As per the firm, the yield is healthy. In this situation, the brokerage has raised the rating of its stock to Buy and has set an investment target of 5,225 rupees.
Quick Fact
| Company name | InterGlobe Aviation |
|---|---|
| Promoter | Rakesh Gangwal |
| Stake Sold | ₹10,300 crore worth |
| Stake Percentage | 5.5% |
| Selling Price | ₹4,593 per share |
| Discount Rate | Approx 5% |
| Total Stake | 13.5% with family and trust |
| Resignation | Rakesh Gangwal resigned from Board in Feb 2022 |
| Profit Decline | 12% decline to ₹2,736 crore in Q1 FY24-25 |
| Reason | Increased domestic travel |
| Brokerage Trend | Buy rating, Possible target price ₹5,225 |
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