BSE To Replace Wipro In Nifty 50, Why Did TVS Motor And Divi’s Miss The Cut?
Mumbai: India’s oldest stock exchange, BSE Ltd , is set to enter the benchmark Nifty 50 index, replacing IT major Wipro Ltd as part of the NSE’s semi-annual index rebalancing exercise. The changes will take effect from September 30, 2026, marking BSE’s entry into the club of 50 major companies represented by the benchmark index. Why BSE Made The Cut? BSE qualified after its six-month average…
India’s oldest stock exchange, the Bombay Stock Exchange (BSE) Ltd, will join the prestigious Nifty 50 index, taking the place of IT giant Wipro Ltd, as part of the National Stock Exchange’s (NSE) regular index rebalancing. This change will become effective from September 30, 2026, adding BSE to the exclusive club of the 50 leading companies that make up the benchmark index.
BSE qualified for the inclusion due to its six-month average free-float market capitalization of Rs 1,40,879 crore, which surpassed the minimum required threshold of at least 1.5 times the six-month average free-float market capitalization of the smallest eligible participant. On the other hand, Wipro, the company being replaced, had an average free-float market capitalization of Rs 55,930 crore.
The Nifty 50 broadly encompasses 50 large and liquid companies chosen based on specific eligibility criteria, such as free-float market capitalization and trading liquidity. With this imminent change, BSE shares were trading around 2 percent higher at Rs 3,157 on Tuesday, marking a 20% gain so far in 2026. Conversely, Wipro experienced a 1.43% decline during the same session and has suffered a 40% loss throughout the year, highlighting the significant disparity in market valuations that drives the upcoming index reshuffle.
Although BSE was the only company evaluated for potential entry, TVS Motor Company and Divi’s Laboratories, despite having free-float market capitalizations of Rs 84,566 crore and Rs 82,930 crore respectively, did not meet the criteria for qualification. The determination involved two smaller constituents of the Nifty 50 after Wipro’s removal: HDFC Life Insurance Company and Tata Consumer Products.
Their combined average free-float market capitalization was insufficient, preventing TVS Motor and Divi’s Laboratories from clearing the prescribed 1.5-times eligibility threshold, thus leaving BSE as the sole company to gain entry into the benchmark index from September 30.
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