Big changes are on the horizon for the FTSE Global Equity Indices this June. Several high-profile IPOs are making their way into the largecap list, while others see a shift in segment classification. Investors, market watchers, and equity analysts alike are closely watching these developments as they reshape index dynamics heading into the second half of 2025.
New Largecap Entrants: IPOs Take Center Stage
According to FTSE Russell’s official release, four recently listed companies will join the FTSE Global Largecap Index as part of the June 2025 quarterly review. These include:
- Hyundai Motor India – listed on October 22, 2024, now trading 4.5% below its IPO price of Rs 1,960.
- NTPC Green Energy – debuted on November 27, 2024, and is slightly up, trading at Rs 110.95.
- Swiggy – listed on November 13, 2024, currently trading 17% below its Rs 390 issue price.
- Waaree Energies – the standout performer, up 83% from its IPO price of Rs 1,503 to Rs 2,756.
These additions not only represent the growing dominance of India’s emerging sectors—like EVs, renewable energy, and foodtech—but also mark a shift in how global indices are factoring in early-stage momentum stocks post-IPO.
Midcap, Smallcap, and Microcap Adjustments
On the midcap front, the biggest headline is the reclassification of ITC Hotels, following its demerger from the ITC conglomerate. It will move from the largecap to the midcap segment. Meanwhile, Vishal Mega Mart enters the midcap index, signaling investor confidence in India’s organized retail sector.
The smallcap segment will welcome:
- Afcons Infrastructure
- OneSource Specialty Pharma
- Sai Life Sciences
As for microcaps, 18 companies are being added, spanning sectors from diagnostics and aerospace to biorefineries and financial services. Notable inclusions are:
- Capital Infra Trust
- One MobiKwik Systems
- Rossell Techsys
- Sanathan Textiles
- Unimech Aerospace and Manufacturing
This broader inclusion in the microcap space hints at a growing diversification strategy in passive investment portfolios.
Eternal Faces Index Headwinds
Separately, food delivery platform Eternal (formerly known as Zomato) could experience a major setback. FTSE and MSCI are cutting its index weighting following a reduction in its Foreign Ownership Limit (FOL). Its investability weighting in the FTSE All-World Index will drop from 82.74% to just 49.5%, which could trigger a passive outflow of up to $840 million.
This move reflects the increasing scrutiny around foreign investment limits and their impact on index-linked flows, particularly for consumer internet companies in India.
That said, the FTSE June 2025 index reshuffle underscores a vibrant IPO market and shifting investor appetite—both crucial signals for India’s equity landscape going forward.