Dec 22 index rejig: discover the 32 new entrants to BSE 500, including ITC Hotels and Reliance Power

DCM Editorial Summary: This story has been independently rewritten and summarised for DCM readers to highlight key developments relevant to the region. Original reporting by Economic Times, click this post to read the original article.

BSE Index Services has announced a significant restructuring of the BSE 500 index, set to take effect on December 22. This change involves the addition of 32 new stocks, which will replace an equal number of existing scrips. The reconstitution is part of a semi-annual review that considers factors such as market capitalization, free-float, and liquidity. The announcement was made public on Friday, and it also noted that changes had been implemented across 28 BSE indices, while the BSE CPSE, BSE Auto, and BSE Metal indices will remain unchanged.

Among the new stocks joining the BSE 500 index are notable names such as GE Vernova TD India, Hexaware Technologies, and ITC Hotels, among others. The complete list includes companies like Reliance Power, Aditya Birla Lifestyle Brands, and Niva Bupa Health Insurance Company, showcasing a diverse range of sectors. Conversely, the index will see the removal of several stocks, including KNR Constructions, Punjab & Sind Bank, and Procter & Gamble Health, reflecting a shift in market dynamics.

In addition to the BSE 500 changes, InterGlobe Aviation will be included in the BSE Sensex 50 TMC despite its recent struggles, replacing Tata Motors Passenger Vehicles, which has experienced a significant decline in value over the past year. Meanwhile, the BSE SME IPO index will see five stocks exit, with no new additions made. Lastly, the BSE Smallcap index will also have five stocks removed, with no new entries to replace them.