Indigo says working with banks for IPO

NEW DELHI: Budget carrier Indigo today said that it has roped in some banks to work on its initial public offer, through which it could raise around Rs 1,500 crore.

"We have some banks working on it, but no decision has been made yet," Indigo President Aditya Ghosh told PTI.

Ghosh was reacting to market speculation that the low cost carrier had roped in four banks -- Morgan Stanley India, Citigroup Global Markets India, UBS Securities India and Credit Suisse Securities India -- to work on its IPO to raise around Rs 1,500 crore.

Ghosh, however, declined to name the banks that Indigo has hired, nor did he offer offer comment on the amount that the firm plans to raise.

"Every year banks come and talk to us and we consider various options. This year is no different," he said, declining to confirm reports that Indigo could file its draft prospectus within the next two months.

Gurgaon-based Indigo currently operates 170 daily flights with a fleet of 25 Airbus aircraft.

As per the latest air traffic data released by the Directorate General of Civil Aviation, Indigo holds a market share of 14.7 per cent in the domestic scheduled airlines business.

During January-March, 2010, over 120 lakh passengers were carried by domestic airlines against 99.82 lakh passengers in the corresponding period of the previous year.

Indigo is owned by Interglobe Enterprises, which is engaged in various travel businesses like aviation management, travel technology, travel distribution services, hotel development and management services.