TRAVEL firm TUI Travel may lose its blue chip status at the quarterly reshuffle of UK indices later this week, according to data from FTSE.
Based on Friday’s closing share prices, TUI Travel is the only FTSE 100 stock at 111th position or below in the indices and, therefore, the only candidate for potential demotion to the FTSE 250 index.
No FTSE 250 companies are currently at 90th position or above, which would qualify them for automatic promotion to the blue chip index.
However, for the purposes of balancing the index the nearest FTSE 250 constituent will be considered for promotion, which, based on Friday’s closing prices, would see food ingredients firm Tate & Lyle gain re-entry to the FTSE 100.
Tate’s shares have risen steadily since early March before getting a strong boost at the end of May when its full-year results beat expectations.
City A.M. Reporter