Zomato surges 4% on BSE Sensex inclusion, JSW Steel drops ahead of exit

Shares of online food delivery giant Zomato rose nearly 4% on Monday after it was announced that the company will be included in the BSE benchmark Sensex from December 23.

The stock surged 3.58% to close at ₹273.60 on the Bombay Stock Exchange (BSE). At one point, Zomato’s share price soared 7.62% to ₹284.30 during the trading session.

This marks a significant milestone for Zomato, which will replace JSW Steel in the 30-stock index. The changes, part of the latest reconstitution announced by Asia Index Private Ltd (a subsidiary of BSE), will take effect from 23 December 2024.

Zomato’s entry into the Sensex is expected to further enhance its visibility among investors, signalling the company’s growth and increasing influence in the market.

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In contrast, shares of JSW Steel, which will exit the Sensex, dropped by 2.40%, closing at ₹953.35, making it the biggest laggard among the Sensex firms.

Zomato’s inclusion in the prestigious index comes after a remarkable rally over the past year, reflecting investor confidence in its business model and growth prospects.