CRH, Evraz, Polymetal Expected To Join FTSE100 In December Review
07 December 2011 - 9:58PM
Dow Jones News
Irish building materials firm CRH PLC (CRH) and two Russian
companies--miner Evraz Group SA (EVRZ.LN) and gold and silver
producer Polymetal International PLC (POLY.LN)--are expected to be
promoted to the U.K.'s leading FTSE100 share index when the FTSE
Group announces its quarterly review of stocks after the market
closes Wednesday.
The three newcomers would replace satellite firm Inmarsat PLC
(ISAT.LN), Anglo-African investment bank and wealth manager
Investec PLC (INVP.LN) and primary platinum producer Lonmin PLC
(LMI.LN).
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. Lonmin was ranked at number 109
based on Tuesday's closing share price and wouldn't usually be
demoted, but for purposes of rebalancing will be considered when
the committee meets later Wednesday.
Actual changes to the index will be based on Tuesday's closing
prices, and entry to the index is effective at the close of trade
on Dec. 16.
Investment funds that track the index will have to buy those
stocks being promoted and sell those that are exiting, and these
stocks are likely to become more widely traded as the date of index
entry approaches.
At 1015 GMT, CRH shares were down 7 cents, or 0.5%, at 1397
cents; Evraz shares were down 3 pence, or 0.8%, at 395 pence,
Polymetal shares were up 24 pence, or 2.4%, at 1039 pence; Inmarsat
shares were up 4 pence, or 1.1%, at 431.1 pence, Investec shares
were up 6 pence, or 1.8%, at 361.6 pence and Lonmin shares were up
27 pence, or 2.6%, at 1077 pence.
-By Ian Walker, Dow Jones Newswires; 44-20-7842-9296;
ian.walker@dowjones.com