HDFC Life gains over 3% on inclusion in Nifty 50 from July 31

Shares of HDFC Life Insurance Company advanced over 3 per cent in Friday’s early trade after NSE Indices, a subsidiary of the National Stock Exchange (NSE), decided to add the insurance company in the Nifty50 index with effect from July 31.

On the other hand, Vedanta will be dropped from NSE’s benchmark index and other indices on account of the company’s proposed voluntary delisting.

HDFC Life was up 3.02 per cent at Rs 564 at around 9.20 am (IST), while Vedanta traded 0.23 per cent higher at Rs 106.65. On the other hand, the NSE Nifty index was up 0.50 per cent at Rs 10,602.

Apart from that, Vedanta will be excluded from Nifty 500, Nifty 200, Nifty 100 and Nifty LargeMidcap 250 indices. SBI Cards and Payment Services would replace Vedanta in these indices. Shares of SBI Cards were up 0.80 per cent at Rs 659.35 in early trade.

In addition, Mishra Dhatu Nigam (Midhani) would replace Vedanta in the metal index. Midhani traded 0.28 per cent higher at Rs 214.75.

"The Index Maintenance Sub-Committee has decided to replace Vedanta (VEDL) from various indices on account of proposed voluntary delisting. The changes shall become effective from July 31, 2020,” NSE Indices said in a release.

Last month, Billionaire Anil Agarwal-controlled Vedanta said it has received shareholders’ nod for delisting the company. Vedanta Resources (VRL), which owns 50.1 per cent of Vedanta, offered to acquire all of the balance 49.9 per cent shareholding held by the public and delist the company.

On May 18, Agarwal-chaired board of directors of Vedanta approved its parent VRL's open offer.

SBI Cards and Payment Services would also replace HDFC Life from Nifty Next 50 index.