ITC Hotels removed from Sensex and BSE indices
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ITC Hotels was removed from 22 BSE indices before trading began on Wednesday, February 5. The company, which was spun off from ITC, had been temporarily included in the Sensex and other indices to facilitate portfolio rebalancing by passive funds. ITC Hotels began trading separately on 29 January. “As ITC Hotels did not hit the lower circuit till the cut-off time, the company will be dropped from all BSE indices effective prior to the open of trading on Wednesday,” BSE said in a notice. Shares of ITC Hotels last closed at Rs 165, down 4.16%. Index trackers had to sell shares worth over Rs 400 crore due to the stock’s exclusion from the Sensex, with another Rs 700 crore worth of selling expected when it is removed from NSE Nifty. The demerged entity debuted on NSE and BSE at Rs 180 and Rs 188 per share, respectively, commanding a market valuation of Rs 39,126.02 crore at listing, which has since fallen to Rs 34,266.48 crore. Under the deme...