The global index provider MSCI has just announced a reshuffle of its India-related indices as part of its May 2025 review. Two big names such as Coromandel International and FSN E-Commerce Ventures (better known as Nykaa’s parent company) are set to join the MSCI India Index, which is a part of the MSCI Global Standard Index family.
These changes will officially come into effect at the close of trading on May 30, 2025. Interestingly, this time around, no companies are being removed from the MSCI India Index, making it a relatively balanced rejig in terms of exits.
Paytm left out again
While there were predictions that One97 Communications, the company behind Paytm might return to the index after being dropped in May 2024, MSCI has chosen not to include the stock in its latest update.
More moves: GMR In, Sona BLW out
Apart from the Global Standard Index, MSCI has also updated its India Domestic Index. Here, GMR Airports Infrastructure has made it to the list along with Coromandel International.
On the flip side, Sona BLW Precision Forgings, a key auto component manufacturer, has been removed from the Domestic Index. However, Sona BLW has now found a spot in the MSCI India Domestic Smallcap Index instead.
Smallcap: 12 In, 21 Out
The MSCI India Domestic Smallcap Index has seen some heavy movement. A total of 12 companies have been added. This includes Hexaware Technologies, Godrej Agrovet, Premier Energies, Le Travenues Technology (Ixigo’s parent, Sona BLW, among others.
Meanwhile, 21 stocks are being shown the door. Some notable exits include Aarti Drugs, Orchid Pharma, Prince Pipes and Fittings, Allcargo Logistics, and Patel Engineering
These adjustments are also set to go live after market close on May 30.
MSCI Weightage adjustment: Who is gaining and losing?
Some heavyweight stocks are seeing changes in their weightage within the MSCI Standard Index. Beneficiaries of increased weightage include Cipla, Indus Towers, UltraTech Cement, Grasim Industries and Vodafone Idea.
These changes are expected to bring in fresh investments up to $50 million in some cases.
On the losing side, companies like HDFC Bank, ICICI Bank, Infosys and Bharti Airtel will see a reduction in their weightage, which could lead to minor outflows.