IndiGo to Conduct IPO

India’s largest airline, IndiGo, plans to conduct an initial share offering this week as it seeks to raise as much as 32.68 billion rupees ($500 million).

The share offering would be India’s largest since 2012.

Owned by InterGlobe Aviation, IndiGo is India’s largest domestic airline by market share.

The public offer is set to open on October 27 and close on October 29.

It proposed to list on the Bombay Stock Exchange and the National Stock Exchange of India.

Global coordinators of the share sale include JP Morgan, Barclays and UBS, according to the company’s preliminary prospectus filed in June.

The budget airline warned in its initial prospectus that there was “no assurance that the new routes which we expand into will be profitable or become profitable.”

IndiGo’s international destinations currently include Singapore, Dubai and Bangkok.

According to Centre of Aviation (CAPA), IndiGo has been the only consistently profitable carrier in India for the past seven years.

IndiGo said it may not be able to successfully implement its planned expansion of its route network “due to factors beyond our control” – including economic, political and business conditions.

In August 2015, IndiGo finalized a deal with Airbus to buy 250 A320neo aircraft.

The deal followed a series of orders Indigo has placed with Airbus, as it continues to win a bigger share of India’s fast growing aviation market.

The agreement was Airbus’ single largest order by number of aircraft and was worth a $26.5 billion at list prices.

IndiGo was founded in 2006 by travel entrepreneur Rahul Bhatia and Rakesh Gangwal, a former CEO of US Airways.