Essar Energy, Cairn Expected To Drop Out Of FTSE100 In March Review

India focused energy companies, Essar Energy PLC (ESSR.LN) and Cairn Energy PLC (CNE.LN), could drop from the U.K.'s leading FTSE100 share index next month, according to Societe General research and based on closing share prices Feb. 9.

SocGen forecasts these to be replaced by investment management group Aberdeen Asset Management PLC (ADN.LN) and chemicals firm Croda International PLC (CRDA.LN).

Essar Energy joined the FTSE100 in June 2010 following its initial public offering in London in May 2010 raising $1.9 billion, and at that time was the largest primary offering in the London market since 2007. Cairn Energy, which has operations in Albania, Bangladesh, Greenland, India, Nepal and Tunisia, listed on the London Stock Exchange in 1988 and joined the top flight in December 2007.

SocGen added that independent financial services provider Hargreaves Lansdown PLC (HL.LN) is next closest to drop out of the index after only a year in the top flight, and could be replaced by engineering company Babcock International Group PLC (BAB.LN). Hargreaves joined the FTSE100 in March last year.

The quarterly review of the index is due to be announced on Wednesday March 7, based on Tuesday's closing share prices. Changes to the index will be effective from March 16.

The FTSE100 is a share index of the 100 most highly-capitalized companies listed on the London Stock Exchange.

Any company that falls to 111th and below is automatically ejected from the top-flight index, while any firm that rises to 90 or above is automatically promoted.

Essar Energy shares at 1000 GMT were down 1 pence, or 1%, at 127.7 pence; Cairn Energy shares were down 1 pence, or 0.3% at 347 pence; Aberdeen Asset Management shares were down 0.3%, at 263.3 pence; Croda shares were up 7 pence, or 0.3%, at 2,059 pence, Hargreaves Lansdown shares were down 3 pence, or 0.7%, at 462.2 pence, and Babcock shares were up 6 pence, or 0.8% at 748 pence. FTSE100 index was down 0.02% and the FTSE250 index was up 0.15%.

-By Ian Walker, Dow Jones Newswires; 44-20-7842-9296; ian.walker@dowjones.com

Capricorn Energy (PK) (USOTC:CRNCD)
Historical Stock Chart
From Aug 2024 to Sep 2024