Cairn India, PNB, Vedanta shares down on exclusion from Nifty

Shares of Cairn India, Punjab National Bank and Vedanta fell by up to 4.2 per cent on Tuesday, as these stocks will be dropped from the NSE's Nifty 50 index with effect from April 1.

Shares of Cairn India went down by 4.24 per cent, PNB fell by 3.77 per cent and Vedanta lost 1.41 per cent on NSE.

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In their place, Aurobindo Pharma, Bharti Infratel, Eicher Motors and Tata Motors Ltd (DVR) will be included in the index.

Shares of Tata Motors Ltd DVR after surging 7.26 per cent to Rs 259.70 in intra-day, finally ended at Rs 246.75, up 1.92 per cent to end at Rs 246.75.

Aurobindo Pharma pared its early gains and ended flat at Rs 653.85, down 0.08 per cent. Eicher Motors went up by 0.45 per cent and Bharti Infratel rose by 0.26 per cent.

These stocks trimmed their initial gains amid weakness in the broader market.

The 50-share component Nifty fell by 125 points to 7,109.55.

Tata Motors shares are already part of Nifty, and inclusion of Tata Motors Ltd (DVR) in the Nifty 50 will take the number of securities in the index to 51.

However, the total number of companies will continue to be 50.

Equity shares with differential voting rights are eligible to be included in the indices as an additional security subject to the fulfillment of eligibility criteria, India Index Services and Products Ltd (IISL), a subsidiary of NSE Strategic Investment Corporation, said in a circular yesterday.

"On account of inclusion of Tata Motors Ltd (DVR), the Nifty 50 index shall have 51 securities," it added.