The share price of Indiabulls Housing Finance plunged over 7 percent intraday on Thursday on reports that the stock will be replaced by Nestle India on the Nifty50 index next month. The Index Maintenance Sub-Committee of NSE indices decided to include Nestle India in the Nifty50 as a part of its periodic review as the company's market capitalisation has increased over half of its Nifty components. On the BSE, its market cap stands at Rs 1,23,178 crore.

Share Market Live

NSE

At 09:34 am, Indiabulls Housing was trading lower by 6.05 percent at Rs 429.60 per share on the NSE. Intraday, the stock plunged 7.97 percent to Rs 420.80.

In the last one year, Indiabulls Housing Finance has eroded nearly 65 percent of investors' wealth. This year, the stock is already down nearly 46 percent.

Nestle India, on the other hand, has grown 12 percent in the last one year and about 15 percent this year. The Maggi manufacturer has grown faster and bigger than any other consumer goods so far in the current year.

In February this year, Hindustan Petroleum Corporation Ltd was removed and Britannia was included in the Nifty50 index. This procedure of reconstitution of indices is done twice every year based on the data for six months ending January and July.

Catch all the latest and live updates here on CNBC TV18 Market Live Blog.

Disclaimer: CNBCTV18.com advises users to check with certified experts before taking any investment decisions.

First Published:Aug 29, 2019 10:13 AM IST