Indiabulls to be replaced by Nestle in Nifty soon

From September 27, Nestle India will replace non-banking financial player Indiabulls Housing Finance in Nifty50 index. The replacement is also applicable to Nifty50 Equal Weight Index.

Shares of Indiabulls Housing Finance have lowered more than 60% from their 52-week high to a market-cap of Rs 19,542 crore recently. Meanwhile, Nestle hit its all-time high of Rs 12,850.55 and now commands a market cap of Rs 1,20,661 crore. The indices are reconstituted twice every year based on data for six months ending January and July.

The last change happened in February when Britannia replaced HPCL. The NSE Indices also announced a couple of changes in other indices, including Nifty Next 50, Nifty 100 and Nifty 500. It also made changes in sectoral as well as mid and smallcap indices.

The exchange has also decided to include Berger Paints, Indiabulls Housing Finance, Power Finance Corporation and Punjab National Bank in Nifty Next 50 index, while it decided to exclude ABB India, BHEL, MRF and Steel Authority of India from the index.