Progress at IndiGo, but still miles to go for truce

Mumbai: Rahul Bhatia, one of the two founders of InterGlobe Aviation Ltd, will not accept a dilution of his shareholder rights unless there is a compelling offer from his estranged partner Rakesh Gangwal, a person aware of the development said.

Bhatia is, however, open to a deal with Gangwal to resolve differences over shareholders’ rights that may include acquiring a part of Gangwal’s stake in the company if he chooses to sell, the person said, requesting anonymity.

While the two founders of InterGlobe Aviation, which runs budget airline IndiGo, have settled their differences over some issues, including expanding the airline’s board and related-party transactions, the negotiations so far have not touched the elephant in the room—the lopsided shareholders’ agreement that gives Bhatia’s InterGlobe Enterprises Ltd sweeping rights although both parties have nearly equal shareholding.