Lupin to replace Tata Power in Sensex; DVRs to make index debut

Tata Motors DVRs to become part of BSE 100, BSE 200 and BSE 500 indices; will be the first DVR to be included in an index

Drug major Lupin is set to become a part of the BSE Sensex while shares with differential voting rights (DVRs) will make their index debut in June this year.

Mumbai-based Lupin will replace Tata Power in the 30-share Sensex from June 22, according to a release from Asia Index Pvt Ltd (AIPL). Lupin ended the day at Rs 1735.60 per share on Friday, up 1.4 per cent. It closed the day at Rs 75.75 per share, down 0.6 per cent.

Tata Motors DVRs, the most popular in the market, will also become a part of the BSE 100, BSE 200 and BSE 500 indices, making it the first DVR to be included in an index. Tata Motors DVR closed at Rs 315.30 apiece, up 0.3 per cent.



AIPL — the index-provider for BSE — had floated a discussion paper in November 2014 seeking industry feedback on the inclusion of DVRs in the BSE indices. In February this year, AIPL announced that DVRs would be included in the next semi-annual revision of the indices. Market participants believe that the inclusion of DVRs into indices could lead to a gradual increase in demand for DVRs and prompt many companies to introduce DVRs.

In changes to other BSE indices, Adani Power has been excluded from both the BSE 100 and BSE Carbonex indices while Aurobindo Pharma has been included in them.

The BSE 200 index will see four exclusions, that of Sanofi India, Hindustan Copper, Amtek Auto and Jaiprakash Power Ventures. These will be replaced by five stocks – Ajanta Pharma, Suzlon Energy, Dewan Housing Finance Corp, NCC and Tata Motors DVR. Twenty-six stocks will replaced by 27 in the BSE 500.

Canara Bank and Bank of India will be excluded from the BSE Bankex with no new inclusions. The BSE TECK index will see the exit of three stocks and inclusion of four.

No changes have been made to the BSE Oil&Gas index.

These changes are part of the semi-annual revision of the BSE indices conducted by AIPL and will be effective from June 22, 2015.