Jio Financial Services exclusion from Nifty, Sensex postponed to August 28

Jio Financial Services Limited (JFSL) shares will now be excluded from the Nifty 50 and Sensex on August 28, instead of August 23 as earlier indicated. The exclusion comes as the newly-listed stock has hit lower circuit for two consecutive sessions after a muted listing on Monday, August 21.

‘’Asia Index Private Limited (AIPL) recently announced that Jio Financial Services will be removed from all the S&P BSE indices following its listing on Monday, August 21, 2023 , due to its spin-off from its parent, Reliance Industries,'' said BSE in a circular on Tuesday, August 22.

Asia Index Pvt. Ltd is a 50-50 partnership between S&P Dow Jones Indices LLC, the world’s largest provider of financial market indices and the BSE.

AIPL is aware of the recent lower circuit hitting for JFSL. Since the stock has hit lower circuit limit for 2 consecutive days i.e., Monday, August 21, 2023 , and Tuesday, August 22, 2023 , the index committee has determined to postpone the removal of JFSL from all the S&P BSE Indices by another 3 days.

'JFSL will now be removed from all the S&P BSE Indices effective prior to the open of trading on Tuesday, August 29, 2023 . Should JFSL continue to hit lower circuit on the next two days, the removal date will be deferred by another three days, according to the circular.

Additionally, should JFSL not hit the lower circuit limit on either of the next 2 days, but hits the lower circuit limit on the third day, the removal of JFSL from all the S&P BSE Indices will be deferred by another three days. ‘’Any postponement of a removal will be communicated as soon as possible; any changes to this approach would be announced via the standard channels,'' said BSE.

The stock declined 4.99 per cent to ₹239.20 -- its lower circuit limit -- on the BSE. On the NSE, it fell by 5 per cent to hit its lower circuit limit of ₹236.45.

The company commanded a market valuation of ₹1,51,970.56 crore.  In a special price discovery session held on the record date last month, the stock's pre-listing price came out to be ₹261.85.

As per the BSE, from Monday, August 21, 2023, JFSL shares are admitted to dealings on the exchange in the list of T group of securities. Jio Financial Services' share price will be in the "Trade-for-Trade" segment for 10 trading days. Within this segment, intraday trading is not allowed means any trade either on the buy side or on the sell side, has to necessarily be for delivery only.