In what could pave the way for early inclusion of insurance behemoth LIC in Nifty50, the Index Maintenance Sub-committee-Equity (IMSC) of NSE Indices Ltd has decided to make changes in eligibility criteria of NIFTY equity indices.

As against the existing requirement of minimum listing history of three months for being eligible for inclusion of stocks in NIFTY equity indices, the IMSC has revised the eligibility criteria to a “minimum listing history of 1 calendar month as on the cut off date”, a statement issued by NSE said.

The change in eligibility criteria would be applicable with an immediate effect to all NIFTY equity indices, it added.

This eligibility criteria revision could come in handy for insurance behemoth LIC’s early inclusion in Nifty50, said capital market experts. The government is aiming to shed five per cent stake in LIC through an offer-for-sale (OFS) next month that could help it mobilise at least ₹65,000 crore and list the shares next month.

Apollo Hospitals in Nifty50

Meanwhile, Chennai-headquartered Apollo Hospitals Enterprise Ltd has been included in the Nifty50 index replacing Indian Oil Corporation. This change will be effective from March 31 (close of March 30, 2022).

This replacement will also be applicable to NIFTY50 Equal Weight Index. 

The IMSC has also, as part of its periodic review, included six companies in the NIFTY Next 50 index. These are FSN E-Commerce Ventures Ltd, Indian Oil Corporation, MindTree, One 97 Communications, SRF and Zomato.

These companies have come in place of Apollo Hospitals, Aurobindo Pharma, Hindustan Petroleum Corporation, Indraprastha Gas, Jindal Steel & Power Ltd and YES Bank Ltd. These changes will also be effective from March 31.

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