InterGlobe Aviation Shares Slip After Block Deal, Stake Sale Size Reduced

On Aug 28, 2025, InterGlobe Aviation shares, the parent company of India’s largest airline IndiGo fell by as much as 5% following a large block deal executed at market open. InterGlobe Aviation shares reached a day low of ₹5,754.4 at 10:55 AM.

InterGlobe Aviation Block Deal

The block deal comprised ~91 lakh shares, representing 2.35% of the company’s total equity, and changed hands in early trade at an average price of ₹5,838 per share. The total deal value was around ₹5,135.5 crore. While the initial block deal was expected to involve a 3.1% stake valued at ₹7,027 crore, as per news reports. This marks a downsizing of the planned transaction.

Following the sale, the Gangwal family and its associated trust now hold a reduced 4.7% stake in the airline, whereas co-founder Rahul Bhatia and InterGlobe Enterprises retain a majority 35.73% holding.

InterGlobe Aviation Q1FY26 Results

InterGlobe Aviation Ltd reported a net profit of ₹21,763 million for the quarter ended June 30, 2025. This performance comes despite a turbulent operating environment characterised by geopolitical tensions, restricted airspace, and a tragic incident in the Indian aviation sector. Passenger traffic showed remarkable resilience, growing by 11.6% year-over-year to 31 million, supported by a 12% surge in overall demand. Capacity rose by 16.4% to 42.3 billion, though the load factor declined slightly by 2.1 percentage points to 84.6%. 

While yield dropped by 5.0% to ₹4.98, revenue from operations still posted a 4.7% growth, reaching ₹204,963 million. Cost efficiencies were mixed, with a significant 21.9% reduction in fuel CASK to ₹1.38, partially offset by a 2.5% rise in CASK excluding fuel to ₹2.93. IndiGo reported an EBITDAR of ₹57,386 million with a margin of 28.0%, slightly down from ₹58,111 million (29.7%) in the same quarter last year.

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Mr. Pieter Elbers, CEO, said, “The June quarter was shaped by significant external challenges that created headwinds for the entire aviation sector. Despite these industry wide disruptions, we reported a net profit of INR 21,763 million with a net profit margin of around 11% for the quarter ended June 2025. While the revenue environment saw moderation, demand for air travel held strong as we served more than 31 million passengers during the quarter, reflecting a growth of around 12 percent on a year-over-year basis. 

Looking forward, we remain optimistic about the growth of air travel and with our scale, network and fit for purpose fleet, we remain committed to serve the growing demand”

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