Satyam Computer Services will be taken off the benchmark NSE Nifty index with effect from January 12, 2008 and will be replaced by Reliance Capital. The company’s weightage on the Nifty plunged to a mere 0.15% at close of trade on Wednesday. The company’s chairman Ramalinga Raju resigned on Wednesday after making startling revelations of frauds.
Satyam would also be removed from various other indices like CNX 100, S&P CNX 500, CNX IT and the CNX Services sector index, the National Stock Exchange (NSE) said in a statement.
This apart, Glenmark Pharmaceuticals will replace Satyam in the CNX 100 Index and Cairn India will replace it on the S&P CNX 500 Index. Besides, Core Projects and Technologies will replace the troubled software services firm in the CNX IT Index, while Power Grid Corporation of India (PGCIL) will be in place of Satyam in the CNX Services Sector Index. Meanwhile, Reliance Capital replaced Glenmark Pharmaceuticals in the CNX Nifty Junior Index.
The company’s weightage on the Sensex at close of trade on Wednesday plunged to 0.38. Satyam will meet a similar fate on the Sensex shortly.