IndiGo Clears $450 Million Aircraft and Engine Acquisition Plan via International Financial Services Centre Unit

IndiGo's Board Approves $450 Million for Aircraft Acquisition

IndiGo's board of directors has approved a plan to deploy up to $450 million towards the acquisition of aircraft, aircraft engines, and aircraft parts through its wholly owned subsidiary, InterGlobe Aviation Financial Services IFSC Private Limited. This move was announced alongside the airline's FY26 results.

The board of InterGlobe Aviation, IndiGo's parent company, has also approved the partial prepayment of the company's finance lease obligations to the subsidiary in one or more tranches for an aggregate amount of up to $450 million. According to the company, the funds will be utilized by InterGlobe Aviation Financial Services IFSC Private Limited for the acquisition of aviation assets, including aircraft, aircraft engines, and aircraft parts.

The approval comes at a time when IndiGo continues to expand its operations and fleet. During FY26, the airline increased capacity by 9.5 percent to 172.4 billion available seat kilometres (ASKs), while passenger traffic rose 4 percent to 123.4 million passengers.

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As of March 31, 2026, IndiGo operated a fleet of 441 aircraft, comprising 31 A320 CEOs, 177 A320 NEOs, 172 A321 NEOs, one A321XLR, 46 ATR aircraft, three A321 freighters, five Boeing 737 aircraft, and six Boeing 787 aircraft. The airline added a net one passenger aircraft during the March quarter.

The carrier operated at a peak of 2,241 daily flights during the quarter and provided scheduled services to 97 domestic destinations and 45 international destinations.

The board approval was announced alongside the airline's financial results for FY26, during which the company reported a net loss of ₹2,394 crore compared with a profit of ₹7,258 crore in the previous year. However, excluding the impact of foreign exchange movements and exceptional items, IndiGo would have reported a profit of ₹7,502 crore.

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Despite the reported loss, the airline maintained a sizeable liquidity position. As of March 31, 2026, IndiGo had a total cash balance of ₹51,651 crore, comprising ₹36,216 crore of free cash and ₹15,434 crore of restricted cash.

The company reported total debt, including capitalised operating lease liabilities, of ₹77,749 crore at the end of FY26. The capitalised operating lease liability stood at ₹53,461 crore.

IndiGo reported total income of ₹89,513 crore for FY26, up 6.4 percent from the previous year. The company's managing director, Rahul Bhatia, stated that FY26 was marked by an exceptionally challenging operating environment, although the airline continued to expand operations during the year.

Separately, the board also approved the convening of the company's 23rd annual general meeting on August 20, 2026.