IndiGo's Board has approved a USD 820 million investment in its wholly owned subsidiary, IndiGo IFSC, primarily to acquire aviation assets and enhance aircraft ownership. This fund infusion will occur in multiple tranches during FY 2025-26, maintaining IndiGo IFSC as a wholly owned entity in the financial services sector.
IndiGo's Board of Directors, in a meeting held on November 21, 2025, approved an investment of up to USD 820 million in its wholly owned subsidiary, InterGlobe Aviation Financial Services IFSC Private Limited (IndiGo IFSC). This strategic capital infusion aims to support IndiGo IFSC’s core business—aircraft and engine leasing—by enabling the acquisition and ownership of aviation assets.
IndiGo IFSC, incorporated in October 2023, operates under the International Financial Services Centres Authority Act, focusing on financial services within the aviation industry. As of March 31, 2025, IndiGo IFSC reported a turnover of Rs. 289.9 crores with a net worth of Rs. 413 crores.
The investment will be made through multiple tranches within FY 2025-26, entirely in cash consideration. USD 770 million will be allocated to equity subscription at INR 10.92 per share, while USD 50 million will be invested via 0.01% Optionally Convertible Redeemable Preference Shares (OCRPS). The transaction is an arm’s length related-party investment with no direct promoter interest beyond their stake in IndiGo.
This move reinforces IndiGo’s commitment to asset ownership, optimizing capital management, and strengthening its balance sheet amid evolving aviation market dynamics.
Notable Updates
- Total approved investment: USD 820 million (~INR 72,940 million)
- Subsidiary focus: Aircraft and engine leasing financial services
- Investment structure: USD 770 million equity + USD 50 million OCRPS
- IndiGo IFSC turnover (2024-25): Rs. 289.9 crores; net worth: Rs. 413 crores
- Completion timeline: Fund infusion during FY 2025-26 in tranches
- Regulatory approvals: Not applicable for this infusion
- Promoter interest: None beyond shareholding in IndiGo, arm’s length transaction
Sources: NSE Circular, IndiGo Board Meeting Disclosure