• About
  • Contact
Tuesday, May 17, 2022
  • Login
Next Big Brand
  • .
  • News
  • Marketing
  • Tech
  • Insight
  • Interviews
  • Internet
  • Startup
  • OTT
  • Industries
  • FMCG
  • CRYPTOCURRENCY
  • Retail
No Result
View All Result
Next Big Brand

Indigo in Turmoil as Co-Founders Clash Over Control

Sourav by Sourav
May 20, 2019
in Industries
Reading Time: 2 mins read
A A
0
indigo-airlines-logo-nextbigbrand.in

indigo-airlines-logo-nextbigbrand.in

Just a few days back, we spoke about Indigo is prospering even when everyone else in the Aviation industry is struggling. Well, Indigo has now been hit with its own set of struggles, which can potentially cause serious harm to the company in the long run if not handled properly. Co-founders Rahul Bhatia and Rakesh Gangwal are divided over the control of management of the airline, along with disagreeing over the appointment of key executives. The two have now approached law firms to seek a resolution of the issues.

Indigo was setup by Bhatia and Gangwal in the year 2006, with the company going public in 2013. At the time of going public, the two co-founders together owned a 99% stake in the company. At the moment, Bhatia is the owner of 38% stake and Gangwal is the owner of 37% stake in the parent company of the airline, Interglobe Aviation.

indigo airplane
Indigo Airplane-Source: Daily Hunt

The problem

In April 2018, CEO Aditya Ghosh exited the airline, and the co-founders are said to have been in conflict ever since. One of the main reasons behind the disagreements is in the hiring, where several expatriates have been hired in management positions. Most of these positions were filled by Gangwal, hiring executives from his previous company United Airlines, a step which caused major friction between the co-founders. Post the exit of Aditya Ghosh, the CEO post was filled by Ronojoy Dutta, formerly a president at United Airlines. However, the company had already shortlisted Gregory Taylor for the role, and Rahul Bhatia then had to take over as interim chief while things were smoothed over. Currently the top positions, CEO and CFO, are filled by Ronojoy Dutta and Rohit Philip, both of whom are former employees of United Airlines.

Another reason for the rift, according to sources, is said to be the steep fall in profit of the company. In the quarter from October-December, the net profit fell by 75% or ₹ 190 crore roughly. While the losses are being attributed to the slowdown in the aviation industry, rising ATF prices and the cutthroat competition, the co-founders seem to be battling each other to take control of the company and arrest the downslide.

Previous Post

Yes Bank’s Troubles Increase as RBI Ex-Deputy Director is Appointed to the Board

Next Post

Ajay Devgn to invest ₹600 crore in his multiplex venture NY Cinemas

Sourav

Sourav

Excellent story-teller, with a background in SEO and Digital Marketing. Likes to write and give form to opinion and incidents.

Related Posts

Saudi Aramco IPO- Next Big Brand
Industries

Saudi Aramco Becomes World’s Most Valued Company; Surpasses Apple

May 11, 2022
Delhivery founder
Industries

Ahead of IPO, Delhivery Raises Rs 2,347 Crore From Anchor Investors

May 11, 2022
D2c Brands in India
Industries

D2C Brands Future in India

April 12, 2022
Shreevar Kheruka Borosil
Industries

How Borosil Went From 12 Years of Losses to a Rs 600+ Crore Brand – Success Story

April 8, 2022
Tata Neu App Launch
Industries

Tata Group Announces Super-app ‘Tata Neu’ Is Live For Indians

April 7, 2022
DTDC Logo
Industries

Logistics Solution DTDC Plans To Go Public, Eyes ₹1000 Crore

March 31, 2022
Next Post
Screen Shot 2019 05 17 at 12.43.53 PM

Ajay Devgn to invest ₹600 crore in his multiplex venture NY Cinemas

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

BROWSE BY TOPICS

Acquiring amazon Apple brand story BYJU Ravindran Byjus byjus news byjus the learning app Cryptocurrency Edtech Startups Elon Musk facebook fintech news Flipkart funding Good Glamm Group google Indian OTT Platforms Indian Unicorn Indian Unicorns Indian Unicorns of 2021 Mukesh Ambani Netflix NFT NFT Collection Non Fungible Tokens OYO Paytm Reliance Retail Startup Acquisition Startup IPO startup news india Startups startups in india Swiggy Tiktok TikTok India Twitter Unicorns of 2022 Unicorns of India Unicorn Startups Upgrad YouTube Zomato Zomato App

Instagram

Follow Me!

Recent News

  • D2C Sampling Startup Smytten Raises Rs 100 Crore in Pre-Series B Led By Fireside Ventures
  • Jack Ma Exits Paytm Mall, Sells 43% For Rs 42 Crore Valuation Down To Rs 100 Crore
  • After Meesho, Nearly 950 of Zerodha’s 1100 Employees Will Work From Home Permanently

Latest News

Smytten Founders

D2C Sampling Startup Smytten Raises Rs 100 Crore in Pre-Series B Led By Fireside Ventures

May 17, 2022
paytm mall

Jack Ma Exits Paytm Mall, Sells 43% For Rs 42 Crore Valuation Down To Rs 100 Crore

May 17, 2022
  • About Us
  • Privacy Policy
  • Terms and Conditions
  • Disclaimer
  • DMCA Policy
  • Our Team
  • Contact Us
  • Sitemap

© 2019 NBB. All Rights Reserved.

No Result
View All Result
  • .
  • News
  • Marketing
  • Tech
  • Insight
  • Interviews
  • Internet
  • Startup
  • OTT
  • Industries
  • FMCG
  • CRYPTOCURRENCY
  • Retail

© 2019 NBB. All Rights Reserved.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.