New Delhi, Feb 21 (IANS): Shares of Interglobe Aviation, which runs low-cost airline IndiGo, declined on Monday after the companys co-founder resigned late last week.

The shares of the airline settled at Rs 2,079 on Monday, down 1.8 per cent from its previous close. In early trade, it fell as low as 4 per cent, data showed.

Through a regulatory filing on Friday after the market hours, the airline said its non-executive, non-independent director and co-founder Rakesh Gangwal has tendered resignation from the company's board with immediate effect.

The development assumes significance as it indicates a truce between the airline's co-founder and promoters -- Rahul Bhatia and Gangwal -- after a dispute over shareholders agreement.

Gangwal, in his resignation letter which was attached with Friday's filing, said that he plans to gradually reduce his stake in the company over the next five-plus years, which will allow him to benefit from some of the upside.

According to reports, the airline's shares have been on a downward slope for the past four consecutive sessions.

Since the start of 2022, it rose just 3 per cent.