FTSE100 deletes DiData
Make way for Brambles
Dimension Data, Europe's biggest networking equipment reseller, has been kicked out of the FTSE 100 index of the UK's biggest firm.
Taking its place is a company called Brambles, the newly demerged industrial services arm of GKN. DiData will also be removed from the FTSE Eurotop 300 and the FTSE CAP 100 indices. Instead it will occupy a place in the FTSE 250.
The move could have an knock-on effect on DiData's already depressed share price: many investment funds restrict their holdings to the FTSE 100. So its Buy Buy Brambles and it's Bye Bye DiData.
DiData's shares could come under further pressure following yesterday's announcement from Nedcor, a South African banking group, that it will press ahead with the reduction of its 8 per cent stake in DiData. Nedcor had planned to fund a buyback of its own shares with the proceeds of the sale of 5 per cent of DiData, but held back because of the collapse in DiData's stock price, the FT reports. ®