FTSE inclusion boosts IndiGo stock

In just three trading sessions, IndiGo's stock has soared 30% over its IPO price of Rs 765

Shares of InterGlobe Aviation, which operates the country’s most-profitable airline IndiGo, soared as much as 12% on Friday on reports of the stock’s inclusion in the FTSE indices. Shares of the company ended at Rs 1,003.25, up Rs 79.85, or 8.65%. In just three trading sessions, IndiGo’s stock has soared 30% over its initial public offering (IPO) price of Rs 765.

The company’s Rs 3,000-crore IPO last month had drawn six times more demand than shares of offer. As per reports, index provider FTSE is likely to add IndiGo to four of its indices, including FTSE All-World Index and FTSE Global Large Cap Index with effect from November 18, 2015. The inclusion will result in foreign investor inflows in the stock on account of passive buying by funds tracking these indices.

IndiGo, which listed on Tuesday, now commands a market capitalisation of Rs 36,153 crore.