Investors who attempted to participate in last week’s 20.5 billion-rupee ($258 million) share sale in India’s largest airline IndiGo were left empty-handed due to a feature of the country’s trading rules that has long been a source of frustration for institutional fund managers.
None of the investors lined up by the banks working on billionaire Rakesh Gangwal’s sale of part of his family’s stake in IndiGo got any shares in the block trade as a result of slippage, a phenomenon where orders aren’t filled due to the presence of bids with a higher competing price, according to people with knowledge of the matter.
