Aviation stock extend rally on FDI booster shot

NEW DELHI: Shares of domestic aviation firms surged up to 4 per cent on Tuesday, adding to their gains on Monday. Scrips of SpiceJet, Jet Airways and InterGlobe Aviation (parent company of IndiGo) rallied after the government on Monday allowed 100 per cent foreign direct investment (FDI) in scheduled domestic airlines.

Shares of SpiceJet ended higher by 3.75 per cent while Jet Airways gained 1.53 per cent and InterGlobe Aviation slipped 3.53 per cent. FDI up to 49 per cent will be through the automatic route while those beyond 49 per cent will require prior approval from the government.