JSW Steel To Replace HDFC In 30-Share Sensex From July 13

LTIMindtree Ltd will also replace HDFC in the NSE Nifty 50 index from July 13

Steel major JSW Steel will replace Housing Development Finance Corporation (HDFC) in the 30-share S&P BSE Sensex from July 13. The replacement comes in the wake of HDFC getting merged with HDFC Bank. In a release on Wednesday, Asia Index Pvt Ltd said that HDFC will be replaced by JSW Steel in the Sensex. There will also be changes in other S&P BSE indices due to the amalgamation.

In S&P BSE 500, JBM Auto Components Ltd will replace HDFC and in S&P BSE 100, Zomato will be included in place of the mortgage lender. Among other indices, Apollo Hospitals Enterprise Ltd will come in place of HDFC in S&P BSE Sensex 50. Asia Index Pvt Ltd is an equal partnership between S&P Dow Jones Indices LLC, the world's largest provider of financial market indices, and BSE, Asia's oldest stock exchange.

HDFC, the parent of HDFC Bank, merged into the lender on Saturday. HDFC Bank is also the country's largest private sector lender. The record date is July 13 for determining the shareholders of HDFC, who shall be issued and allotted the shares of HDFC Bank.

The $40-billion merger, the largest such deal in Indian corporate history, is driven by a changing regulatory landscape, which limited the advantages for HDFC continuing as a non-bank lending entity. 

In the National Stock Exchange (NSE), LTIMindtree Ltd will replace HDFC in the Nifty 50 index from July 13. The stock exchange has announced changes to various indices, including Nifty 50 and Nifty 100, on account of scheme of amalgamation of HDFC with HDFC Bank. From July 13, LTIMindtree will replace HDFC in the benchmark Nifty 50 index and Jindal Steel & Power will take the place of the mortgage lender in the Nifty 100 index, according to NSE.

In a release, the bourse said the Index Maintenance Sub-Committee (Equity) of NSE Indices Ltd has decided to make replacement of stock in various indices, following the HDFC-HDFC Bank amalgamation. The replacement of HDFC with LTIMindtree will also be “applicable to Nifty50 Equal Weight Index”. Among other indices, Mankind Pharma will replace HDFC in the Nifty 500 and Jindal Steel & Power will be included in place of LTIMindtree in the Nifty Next 500.