founder Gangwal in talks to buy 'sizable' stake in SpiceJet - ET Now

Spicejet

13/10/2023 10:46

(Adds background and details from report paragraph 2 onwards)
       BENGALURU, Oct 13 (Reuters) - India's IndiGo  INGL.NS 
co-founder Rakesh Gangwal is in talks to buy a "sizable" stake
in troubled domestic airline SpiceJet  SPJT.BO , ET Now reported
on Friday, citing sources.
    The news sent shares of SpiceJet up as much as 20%.
    Gangwal and his wife Shobha Gangwal hold 13.23% and 2.99%,
respectively, in IndiGo operator InterGlobe Aviation, as of
June-end, while their Chinkerpoo Family Trust holds a 13.5%
stake, according to exchange data.
        Cash-strapped SpiceJet, which is "struggling to stay
afloat", has been scrambling to raise funds and restore
operations for about a fourth of its fleet that has been
grounded amid fierce competition in the sector.
  
        SpiceJet, whose market share slid to 4.4% as of
September-end from 7.3% at the end of January, did not
immediately respond to Reuters' request for
comment on the report.
  
         IndiGo shares were up 0.9% in afternoon trading on
Friday. 
  
    
    
    

 (Reporting by Indranil Sarkar and Chris Thomas in Bengaluru;
Editing by Sonia Cheema)
 ((Indranil.Sarkar@thomsonreuters.com; Mobile:  +91
7022132226;))