Shares of India's IndiGo fell 4.8% on Monday, poised for their worst session since August 28 and extended losses to a seventh session, after a staffing crisis triggered mass flight cancellations and widespread travel disruptions.

IndiGo, India's largest airline by market share, is reeling from its worst operational crisis after a pilot shortage, compounded by inadequate planning for new rules on crew working hours, triggered thousands of flight cancellations last week, stranded passengers across airports and forced the government to intervene to curb a sharp spike in air fares.

On Sunday, the civil aviation watchdog gave the firm 24 hours to explain why it should not face regulatory action.

Meanwhile, shares of rival SpiceJet jumped 13.9%.

Last week, IndiGo shares slumped 9%, marking their steepest weekly drop since June 2022, when a surge in COVID-19 cases hit air travel demand.

(Reporting by Kashish Tandon and Urvi Dugar in Bengaluru; Editing by Sonia Cheema)