Index Rejig: JSW Steel to replace HDFC in Sensex from July 13

MUMBAI: JSW Steel will replace Housing Development Finance Corporation (HDFC) in S&P BSE Sensex, effective from July 13, the bourse said in a release.

This is following the completion of the mega merger for HDFC with HDFC Bank.

On Wednesday, shares of JSW Steel closed 0.6% down at Rs 791.90.


The inclusion of JSW Steel in Sensex is likely to result in net inflows of $145 million, according to Nuvama Institutional Equities. The brokerage believes most of the index rebalance pre-emptive positioning are well priced in.

Meanwhile, HDFC will be replaced with Zomato in BSE 100 index.

The merger of HDFC Bank and HDFC came into effect on July 1. Under the merger terms, eligible shareholders of HDFC will receive 42 new HDFC Bank shares for every 25 shares they held in the former.

On Wednesday, shares of HDFC Bank and HDFC Ltd ended 3% down each at Rs 1,673.30 and Rs 2,796.15, respectively, on the NSE.

HDFC Ltd will be removed from all the other BSE indices. Besides HDFC, TVS Motor Company and Apollo Tyres have also been removed from a few indices of the exchange, the release showed.


Not only in domestic indices, HDFC will also exit MSCI and FTSE indices. HDFC Bank will replace HDFC in FTSE All-World index, effective July 13.

The mega merger makes HDFC Bank the world’s fourth largest bank by market capitalization, even bigger than the likes of Morgan Stanley and HSBC.