Shares of Adani Group companies surged on Thursday with Adani Enterprises rising as much as 8%, on hopes of the flagship’s inclusion in the S&P BSE Sensex.
Adani Enterprises is likely to replace Wipro in the benchmark index next month, IIFL Alternative Research said in a note. This may lead to inflows of $118 million into the Adani flagship’s shares, Sriram Velayudhan, senior vice president – alternative research, at IIFL Alternative Research said.
This would make Adani Enterprises the first group company to enter the 30-stock index. The BSE is scheduled to announce its semi-annual index review on Friday.
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The adjustments to the changes in the BSE indices will take place on June 21. IIFL Alternative Research expects outflow of $56 million in Wipro because of its potential exclusion from the Sensex.
Shares of Adani Enterprises soared to 52-week high of Rs 3,409.05. The stock was the biggest gainer among largecaps on Thursday, closing with 8% gains at Rs 3,391.20.
There was a spillover effect on other group stocks, with Adani Ports and Special Economic Zone and Adani Power hitting record highs. Shares of Adani Ports jumped 4.7% to end at Rs 1,443 apiece, and were the next biggest gainers after Adani Enterprises in the BSE Largecap index.
Adani Energy Solutions, Adani Green Energy, Adani Wilmar, Ambuja Cements, Adani Total Gas, Adani Power, ACC and NDTV also rose in the range of 1-8%. With this, the overall market capitalisation of the 10 listed Adani Group companies soared by Rs 62,540 crore in a day to Rs 17.24 trillion.
Thursday saw indices rising to their lifetime highs, following the RBI’s bumper dividend and easing uncertainty over the return of the incumbent government to power.