IndiGo Shares Fall To Lowest Since March

Indigo owner slumps as co-founder alleges misgovernance

India’s largest passenger airline is IndiGo with a market share of 49% as of May 2019. They primarily operate in India’s domestic air travel market as a low-cost carrier with focus on our three pillars – offering low fares, being on-time and delivering a courteous and hassle-free experience. IndiGo has become synonymous with being on-time.

BENGALURU – Shares of Interglobe Aviation Ltd fell as much as 19% on Wednesday. After one of the co-founders of India’s largest airline, IndiGo alleged the violation of corporate governance rules at the parent group.

InterGlobe shares hit their lowest since March and were on course for their worst day since January 2016.

IndiGo co-founder Rakesh Gangwal on Tuesday asked the country’s securities regulator to intervene in the matter. A move that suggests that a previously reported row between him and fellow co-founder Rahul Bhatia was escalating.

“I have vigorously attempted for almost a year to persuade the company to shore up its governance standards. Additionally, All my attempts have been thwarted by the IGE Group,” Mr. Gangwal said in Tuesday’s letter to the Securities and Exchange Board of India, referring to Mr. Bhatia’s affiliate group.

Hence, Mr. Gangwal and Mr. Bhatia each own less than 40 percent in InterGlobe, giving both co-founders a major say in its strategy and plans.

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