Shares of IndiGo's parent firm InterGlobe Aviation on Thursday plunged more than 4 per cent in early deals. The stock tanked as much as 4.08 per cent to hit an intraday low of Rs 1,903 from its previous close of Rs 1,983.95.

As of 11:01 am, the airline's shares were down 2.52 per cent to trade at Rs 1,934. On NSE, the stock was trading 2.10 per cent lower at Rs 1,936.10.

According to the data available on exchanges, around 19.67 million equity shares -- representing 5.1 per cent of the airline's total equity -- changed hands in early trade. The details of the buyers and sellers were not disclosed immediately.

Shares were listed for sale with a floor price of Rs 1,850 per share, the exchange data cited.

Earlier, it was reported that IndiGo's co-promoter Rakesh Gangwal may sell up to 2.8 per cent stake in the parent company through block deals for about Rs 2,000 crore. Gangwal and his family own a 36.61 per cent stake in InterGlobe Aviation.

Co-founder and managing director Rahul Bhatia and his family own about 37.8 per cent.

Gangwal tendered his resignation from the position of non-executive director of InterGlobe Aviation with effect from February 18, 2022, and said he would reduce his stake in the company gradually, over the next five years.

In addition, the airline has witnessed a change in top leadership as well. Petrus Johannes Theodorus Elbers (Pieter Elbers) has joined as chief executive of IndiGo with effect from September 6, replacing Ronojoy Dutta.

Analysts at Geojit Financial Services said, "We continue to maintain a positive view on IndiGo considering its market leadership position, capability to leverage its network, cost-efficient fleet, and healthy cash position. While domestic and international traffic is back to pre-Covid levels, we expect moderation in fuel and ticket prices to improve earnings going ahead."

Meanwhile, the domestic airline industry is expected to report a net loss of around Rs 15,000-17,000 crore this fiscal on account of the elevated price of Aviation Turbine Fuel (ATF) and a weak rupee, credit rating agency Icra stated in its report.

Two listed airlines -- IndiGo and SpiceJet -- have reported losses to the tune of Rs 1,064 crore and Rs 789 crore, respectively, in the June quarter of FY23 (2022-23), primarily owing to a weak rupee and higher jet fuel prices.

Currently, IndiGo has a market share of 54 per cent in India's aviation sector.
Source: BusinessToday