IndiGo share price rebounds, jumps 6% intraday on company's clarification on FEMA violation
IndiGo share price gained as much as 5.7 per cent to hit an intraday high of Rs 1201.60. The stock settled at Rs 1175.40, down 3.4 per cent on the BSE. The stock had fallen over 8 per cent in the previous session.
Shares of InterGlobe Aviation, the parent firm of low cost airline IndiGo, recovered nearly 6 per cent intraday in Thursday's trade after the company clarified that its management has not received any notice from Enforcement Directorate (ED).
Reacting to the clarification, IndiGo share price gained as much as 5.7 per cent to hit an intraday high of Rs 1201.60. The stock settled at Rs 1175.40, down 3.4 per cent on the BSE. The stock had fallen over 8 per cent in the previous session.
On the BSE, 1.43 lakh shares exchanged hands on the counter against two-week average of just 32,000 shares.
"We refer to the news being telecast on various news channels stating 'ED summons top management of lndiGo Airlines for FEMA violation'. We hereby clarify that we have not received any such summons," InterGlobe Aviation said in a filing to BSE.
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On Wednesday, news reports claimed that Enforcement Directorate (ED) has summoned top management of the company for Foreign Exchange Management Act (FEMA) violation.
The stock rebounded on Thursday even as the broader market settled lower. The Sensex ended at 35,432, down 114.94 points, while the broader Nifty50 settled at 10,741, down 30.95 points. The BSE Midcap slipped 0.5 per cent, while the BSE Smallcap index dipped 0.8 per cent, respectively.