Frasers Group and B&M will exit the FTSE 100 as part of the latest quarterly reshuffle by FTSE Russell.
- This reshuffle sees the addition of Games Workshop Group to the FTSE 100, marking significant changes in the index.
- Following a period of declining share prices, Frasers Group has been impacted by ongoing tensions with Boohoo Group.
- B&M’s shares have sharply declined, reflecting a drop in profits amidst rising operational costs.
- These index changes will be implemented by the end of December, affecting market standings.
Frasers Group and B&M’s removal from the FTSE 100 comes as FTSE Russell rolls out its periodic adjustments to the UK index series. This decision is indicative of shifts in market confidence and company performance over recent months.
Games Workshop Group, a company known for its board games, has entered the FTSE 100, illustrating a notable shift in industry leadership within the index. This move highlights the evolving dynamics in the marketplace.
The declining share prices of Frasers Group, coupled with its ongoing conflict with Boohoo Group, have culminated in its recent demotion. Frasers Group had rejoined the FTSE 100 in 2022 after being absent for several years, yet current circumstances have necessitated its exit once more.
On the other hand, B&M has experienced a significant 21% reduction in share value over the past three months. This decline has been attributed to escalating costs, partly due to its expansion in France and increased supply chain investments, leading to a slight decrease in adjusted operating profit.
The changes announced will be effective at the close of business on 20 December, with implications for both Frasers Group and B&M beginning 23 December. These adjustments are expected to influence investment strategies and perceptions in the coming period.
The reshuffle of the FTSE 100 demonstrates the dynamic nature of market indices and the continuous evaluation of listed companies.
