Nifty 50 Rejig: Jio Financial Services, Zomato likely to replace BPCL, Britannia in March rebalancing

Jio Financial Services and Zomato shares are expected to enter the benchmark Nifty 50 index soon.

According to estimates by JM Financial, Jio Financial Services and Zomato are likely to replace state-run Bharat Petroleum Corporation Ltd (BPCL) and FMCG major Britannia Industries in the upcoming Nifty 50 semi-annual rebalancing in March.

The announcement for the Nifty 50 constituent changes is due in the month of February 2025, effective from March 31, 2025.

For the March rebalancing, the index provider assumes an average free float market cap that prevailed between the period August 1 to January 31. Based on the average free float market cap that prevailed as of January 12, JM Financial expects the Jio Finance and Zomato to replace BPCL and Britannia Industries in the Nifty.

Projected Passive Inflows

JM Financial anticipates significant passive inflows for Jio Financial Services and Zomato if they are included in the Nifty 50. Zomato is estimated to attract inflows worth $620 million, while Jio Financial Services could see inflows amounting to $356 million.

On the contrary, BPCL, which may be excluded from the index, is estimated to see outflows to the tune of $212 million, while Britannia Industries may experience outflows worth $229 million.

MSCI Rebalancing

The MSCI India Standard Index rebalancing announcement is scheduled on February 11, post the market hours and the changes will be effective from March 3.

JM Financial expects high probability of Coforge, Fortis Healthcare, One 97 Communications (Paytm) and Coromandel International to be included in the MSCI Standard Index.

There is also a low probability of inclusion in the index for Federal Bank, Blue Star, GE Vernova T&D India and Uno Minda, in the upcoming MSCI index rejig.

Additionally, the current weight in IndusInd Bank will double, resulting into a buying flow of $143 million or 13.2 million shares, which is 2.9x average trading volumes, JM Financial said.

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