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- By Aditya Pratap Singh
- Wed, 05 Feb 2025 01:24 PM (IST)
- Source:JND
ITC Hotels Share Price: ITC Hotels shares plunged up to 2% after it was delisted from Sensex and other BSE indices before the market opened. The company, which was recently demerged from ITC Limited, was listed on the stock exchanges on January 29, 2025.
ITC Hotels, previously included in Sensex and other BSE indices have been delisted after the stock failed to hit the low circuit by 2:00 pm on Tuesday, February 4, to implement portfolio restructuring through passive funds.
On Tuesday, shares of ITC Hotels closed down 4.16% at ₹164.65 on the BSE. The delisting is set to attract over ₹400 crore in passive selling from index trackers. It will also invite another ₹700 crore in selling pressure when it is delisted from the NSE Nifty 50.
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Post-listing performance
IDC Hotels is listed at Rs 188 on the BSE and ₹180 on the NSE, representing a significant discount to its discovery price of Rs 260 on the NSE and Rs 270 on the BSE. The market capitalisation of the shares has declined from Rs 39,000 crore to around Rs 34,266 crore since its listing on February 4.
Demerger details
IDC Hotels was demerged from ITC Limited, a diversified conglomerate with cigarette, FMCG and hospitality businesses. The demerger scheme allotted one ITC Hotel share for every ten ITC Limited shares held by shareholders. ITC Limited continued to hold 40% of ITC Hotels, while the remaining 60% was given to shareholders.
The demerger was effective from January 1, 2025, with the record date being January 6, 2025.
