Çelebi parent firm’s stock tumbles 10% following India’s crackdown on local arm

Shares of Çelebi Hava Servisi AS plunged 10 percent on May 15 after India revoked security clearance for its subsidiary, Çelebi Aviation India. The move, triggered by geopolitical tensions and national security concerns, forced market regulators to intervene as the stock sharply declined.

On May 15, India revoked security clearance for Turkish ground handling firm Çelebi Airport Services, a significant operator at major Indian airports. The decision follows Turkey’s vocal support for Pakistan after India conducted strikes on terrorist camps in response to the deadly Pahalgam terror attack.

Çelebi operates in India under two entities — Çelebi Airport Services India for ground handling and Çelebi Delhi Cargo Terminal Management India for cargo services at Delhi International Airport. The company’s joint venture, Çelebi NAS Airport Services, manages about 70% of ground operations at Mumbai Airport and maintains a presence in nine cities, including Hyderabad, Cochin, and Chennai.

The scope of Çelebi’s operations spans sensitive airport functions, including passenger handling, load control, flight operations, ramp services, general aviation, cargo handling, postal services, and bridge operations.

Amid growing scrutiny, Çelebi Aviation India has rejected claims linking the clearance revocation to political affiliations, particularly those involving Turkish President Erdoğan’s daughter. Calling the allegations “misleading and factually incorrect,” the company asserted its institutional credibility.

“Çelebi Aviation India is a professionally governed, globally operated aviation services company,” it stated, highlighting that it is majority-owned by international investors from Canada, the US, the UK, Singapore, the UAE, and Western Europe.

The move has sparked broader calls to curtail cooperation with Turkish companies operating in India, fueled by national sentiment over Turkey’s stance during post-Pahalgam hostilities.