BSE PSU index rejig: RailTel gets entry, 4 stocks deboarded. Do you own any?

In a major overhaul of BSE indices, BSE Index Services announced a rejig of 28 indices on Friday, which includes the BSE PSU index. Five changes were made to the index, including the inclusion of railway stock RailTel Corporation of India and the exclusion of four scrips viz. MMTC, ITI, Punjab & Sind Bank (PSB) and KIOCL. The changes are made semi-annually. The changes become effective December 22.

RailTel is a Navratna PSU and a major neutral telecom infrastructure provider with a vast optical fiber network (62,000+ RKM) across India, offering end-to-end ICT services like broadband (RailWire), data centers and Wi-Fi at stations. The stock has been a market laggard, declining 20% over the past year.

MMTC is India's largest trading company established in 1963 to manage trade in minerals, metals, and other key commodities like agro-products, fertilizers, and coal, acting as a major importer/exporter and forex earner for India. The stock makes an exit following a lackluster performance. It has declined 30% in the past one year.

ITI offers government/private vocational centers for technical & non-technical skill training like electrician, fitter, mechanic. The stock has delivered over 6% returns in the past 12 months.

Formerly Kudremukh Iron Ore Company Limited, KIOCL is under the ownership of the Ministry of Steel. It has a pelletisation plant in Mangalore and an iron ore mine in Kudremukh. The stock has fallen 10% in the last one year.