Rakesh Gangwal Invests Over $100 Million in Southwest Airlines

Rakesh Gangwal, co-founder of IndiGo and a director at Southwest Airlines, has acquired 3.6 million shares of Southwest, valued at over $100 million, amid ongoing pressure from activist investor Elliott Investment Management for leadership changes. Gangwal purchased the shares between September 30 and October 1, at prices ranging from $29 to $30 each, as soon as the trading window for insiders opened. His substantial investment aligns his interests with those of other shareholders, although it only represents a 0.6% stake in the airline. Following Elliott's push for changes, Southwest has announced a board overhaul, including the retirement of Executive Chairman Gary Kelly and six other directors. Despite Elliott's demands for further leadership changes, including the removal of CEO Bob Jordan, Gangwal has expressed concerns that more disruptions would be detrimental to shareholders. He emphasized that the current changes should suffice to improve performance and shareholder value.