Rahul Bhatia-Rakesh Gangwal dispute: IndiGo extraordinary general meeting on January 29
NEW DELHI: The dispute between Indigo co-founder-promoters Rahul Bhatia & Rakesh Gangwal possibly heading to a conclusion now. The Gangwal Group has sought an extraordinary general meeting (EGM) to amend the airline association article that currently gives the Bhatia Group the right of first refusal when Gangwal wants to sell them.
According to reports, the Gangwal Group wants this cause removed, a move seen by the industry as a prelude to dilute or sell its stake in the airline.
This clause gives the promoters the right of first rejection if any of them wishes to sell their stake.
Qatar Airways has long expressed the desire to buy a stake in the airline. Recently, the executive president of Qatar Airways Group, Akbar Al Baker, had told TOI that he would be very interested (to gain participation) in the future (once the promoter-founder's problems are resolved).
In a BSE filing on Friday, Indigo said the EGM will be held on January 29. “ … Notice for convening an EGM of the company on the requisition dated December 24, 2019, made by the RG Group comprising of Rakesh Gangwal , Shobha Gangwal & the Chinkerpoo Family Trust (Trustee: Shobha Gangwal & JP Morgan Trust Company of Delaware) (‘requisitionists’), collectively holding 36.64% of the paid-up share capital of the company, scheduled to be held on January 29, 2020, (in Delhi).”
The Bhatia-Gangwal groups have been at loggerheads for several months now, mainly on the issue of Gangwal challenging Bhatia & Bhatia family-controlled InterGlobe Enterprises on the low cost carrier they together founded in 2005. The two have taken each other to courts in the US & for arbitration in London on the issue.