Qatar Airways keen on buying 49% stake in IndiGo

The Gulf airline could seek a maximum 49% of IndiGo, valued at US$2 billion based on the IPO price, its CEO Akbar Al Baker was quoted as saying on Sunday during the Dubai Air Show.

Qatar Airways is keen to buy a stake in IndiGo once its shares start trading on the stock exchanges following the recent initial public offering (IPO), reports a financial newspaper.

The Gulf airline could seek a maximum 49% of IndiGo, valued at US$2 billion based on the IPO price, its CEO Akbar Al Baker was quoted as saying on Sunday during the Dubai Air Show.

“I couldn’t take a stake in IndiGo because the Indian authorities have restrictions on airlines taking part in IPOs of an airline,” Al Baker said. 

The IndiGo IPO raised about INR 3,000 crore (US$456 million), valuing the budget airline at US$4.2 billion.

“The process to do it would have taken a long time and they were in a hurry. If we can go up to the 49% that’s allowed, we’d like to go as much as that,” Al Baker said.

Shares of IndiGo are due to begin trading on Tuesday.