Indigo Shares Continue to Fall for 7th Day, Investors Suffer Losses Worth Crores, While SpiceJet Shares Surge

IndiGo Share Price: In the first 8 days of this month, IndiGo's share price has fallen by 15%. Today, Monday, the share was seen trading with a decline of about 8%.

Shares of InterGlobe Aviation, the parent company of IndiGo, continue to decline. On Monday afternoon, the company's shares were trading at Rs 4957 on the BSE, down 7.70 percent. This decline comes at a time when Delhi Airport has stated that IndiGo's flight delays may continue. The airline's shares have fallen significantly in recent days due to the cancellation of thousands of flights. A large number of passengers were stranded due to flight cancellations. IndiGo's shares have dropped 15 percent in the first 8 days of December.

SpiceJet Shares Jump 17% in 2 Days

SpiceJet is benefiting from IndiGo's flight cancellations. SpiceJet's shares have risen 17 percent in two sessions. Today, the share reached Rs 35.50 on the BSE. This surge in SpiceJet's shares has been observed amidst an operational crisis at IndiGo, the country's largest airline.

Rahul Bhatia Holds 0.01% Stake

The net worth of IndiGo co-founder Rahul Bhatia is reported to be between $8.1 billion and $10.9 billion. According to Forbes, Rahul Bhatia and his father Kapil Bhatia have a combined net worth of $10.9 billion. In 2023, Bhatia's net worth was only $3.5 billion. This means his net worth has tripled in approximately three years. This increase in net worth reflects IndiGo's stellar growth. It is worth noting that Bhatia also owns three hotels in Gurugram. Rahul Bhatia is also a promoter of InterGlobe Aviation, IndiGo's parent company. He holds a 0.01 percent stake in the company, which amounts to approximately 40,000 shares.

Why the Operational Crisis at IndiGo?

The DGCA (Directorate General of Civil Aviation) has issued a show-cause notice to assess the airline's preparedness. The airline had already been informed about the updated duty regulations. In its notice, the regulator stated that there are serious deficiencies in the airline's planning, supervision, and resource management, which have led to significant disruptions in services. The regulator also pointed out that the primary reason for the disruption was IndiGo's inability to make adequate arrangements for staff, duty hours, and scheduling in accordance with the updated Flight Duty Time Limitations (FDTL) rules.

Delhi Airport Issues Statement

Delhi Airport said in a statement on Sunday, "IndiGo flight delays may continue. Passengers are advised to check the latest flight status with their airline before heading to the airport to avoid any inconvenience." The statement further added, "Our teams are working closely with all stakeholders to minimise disruptions and ensure a smooth travel experience. For assistance, including medical aid, please visit the information desk where our on-ground staff are ready to help."