Shares of InterGlobe Aviation Ltd, the parent company of IndiGo Airlines, edged higher by nearly 1 percent in intra-day trading on Wednesday, May 28, after Vikram Singh Mehta has been appointed as IndiGo’s Chairman of the Board, succeeding Venkataramani Sumantran.
The press filing stated that Dr. Sumantran, who assumed the chairmanship in May 2022, played a pivotal role in guiding IndiGo’s Board during a critical post-COVID phase. Under his leadership, the airline navigated a robust recovery and recorded remarkable growth over the past three years, solidifying its market leadership.
Meanwhile, it added that Vikram Singh Mehta brings decades of rich experience across public administration, policy, and corporate leadership. His career began with the Indian Administrative Services (IAS) in 1978, where he served for two years before transitioning to the private sector. He is currently Chairman of the Centre for Social and Economic Progress, a prominent public policy think tank, and has also held the roles of Executive Chairman at Brookings India and Senior Fellow at the Brookings Institution.
In the corporate world, Mehta is best known for his long stint as Chairman of the Shell Group of Companies in India. He also served as CEO of Shell Markets and Shell Chemicals in Egypt. Over the years, he has held board positions at leading Indian corporates including Colgate Palmolive (India) Limited, Mahindra & Mahindra Limited, and Larsen & Toubro Limited.
Gangwal’s Gradual Exit Continues
On May 27, 2025, Rakesh Gangwal sold 22.10 lakh equity shares of InterGlobe Aviation through the open market, amounting to a 0.57 percent stake. Following this sale, Gangwal’s holding in the company declined to 1.82 crore shares or 4.73 percent, down from 2.05 crore shares or 5.30 percent before the transaction. The total share capital of the company remained unchanged at 38.64 crore shares, confirming that the dilution resulted solely from the promoter’s offloading and not from any capital restructuring.
According to reports, global investment banks Goldman Sachs, Morgan Stanley, and JPMorgan are managing the latest stake sale. The move is in line with Gangwal’s previously announced intention to gradually exit the airline. Having stepped down from IndiGo’s board in 2022, Gangwal has steadily trimmed his holding over the last few years.
Since February 2022, Gangwal and his family have pared their stake from 36.6 percent to 13.5 percent as of the latest sale. In September 2022, the Gangwals sold a 2.74 percent stake for ₹2,005 crore, followed by a 4 percent stake sale by Shobha Gangwal in February 2023 for ₹2,944 crore. Later in August 2023, she divested nearly 2.9 percent for over ₹2,800 crore.
IndiGo’s Strong Financials Underpin Investor Confidence
Despite Gangwal’s stake sale, IndiGo’s stock performance remained resilient, supported by a strong operational performance in the March quarter. The airline reported a 62 percent year-on-year increase in net profit to ₹3,067 crore, aided by high travel demand during the Maha Kumbh Mela and wedding season. This marked the second-highest quarterly profit in IndiGo’s history.
Revenue for the quarter stood at ₹22,152 crore, up 24 percent from ₹17,825 crore in the same quarter last year. However, for the full financial year ended March 2025, the airline reported a net profit of ₹7,258 crore, down 11 percent year-on-year. Key performance indicators like yield rose 2.4 percent year-on-year to ₹5.32 per kilometre, while the passenger load factor improved by 1.1 percentage points to 87.4 percent.
Stock Performance Trend
IndiGo shares hit an intraday high of ₹5,355.70 on May 28, rising 0.8 percent. Earlier this month, the aviation stock touched its 52-week high, while its 52-week low of ₹3,778.50 was recorded in October 2024. The stock has been on a consistent uptrend, gaining nearly 2 percent so far in May and extending its winning streak for the fourth consecutive month. It rose 2.6 percent in April, 14.2 percent in March, and 3.5 percent in February, though it dipped 5 percent in January. Over the past one year, the stock has delivered a stellar return of more than 27 percent.
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