(Alliance News) - easyJet PLC is favourite to return to the top table of London-listed large-caps, according to indicative index changes by FTSE Russell on Tuesday.
Final index review findings are released on February 28, using data from a day earlier.
Based on closing on data as of Friday, budget carrier easyJet is primed for a return to the FTSE 100.
easyJet was sent to the FTSE 100 departure lounge back in June 2020, after the Covid-19 pandemic sapped demand for travel and emptied skies.
However, its outlook has improved since then and earnings have improved.
Going the other way, Endeavour Mining PLC is set for demotion to the FTSE 250.
Infrastructure firm Kier Group PLC and logistics outfit Wincanton PLC are in line for promotion to the FTSE 250, though the latter's GBP566.9 million buyout by shipping firm CMA CGM looms.
Octopus Renewables Infrastructure Trust PLC and Tritax EuroBox PLC are set to leave the FTSE 250 index.
The quarterly FTSE index review is based on changes to market capitalisation and sees those FTSE 250-listed stocks that are the 90th biggest or larger in the Main Market move up, and FTSE 100 companies that are 111th biggest or smaller move down, keeping the indices balanced.
The index changes will be announced after the market close next week Wednesday, based on closing prices from a day prior. The review will take effect on March 18.
Re-indexing can lead to increased trading activity, as fund managers with tracker portfolios need to offload stocks that no longer sit in the index and buy the stocks that move in.
Gold miner Endeavour has suffered a 26% share price slide so far in 2024. Endeavour, with assets in nations including Senegal and Burkina Faso, ousted Sebastien de Montessus as chief executive for "serious misconduct" last month. It shares have faced selling pressure since.
The move followed an investigation into an irregular payment instruction issued by him in relation to an asset disposal undertaken by the company.
Wincanton's stock has surged 44% so far this year, with a takeover offer supporting the shares.
FTSE Russell noted shares in the company will be suspended from trading on March 28 should shareholders approve the takeover at a meeting on March 13.
If Wincanton does get promoted to the FTSE 250, and its investors then back its takeover, FTSE Russell explained the promotion will be reversed, and it will be removed from FTSE indices on March 18.
"A replacement addition to the FTSE 250 will be identified by selecting the highest ranked non-constituent of the FTSE 250 based on market capitalisations on the day prior to the announcement. FTSE Russell will endeavour to confirm and announce index treatment as soon as practical, however, in the event that the result of the shareholder meeting is not disclosed until after 6pm on 13 March or on 14 March 2024, confirmation of index treatment may not occur until after UK market close on 14 March 2024," FTSE Russell explained.
By Eric Cunha, Alliance News news editor
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Kier (KIE)
Octopus Energy (ORIT)
Tritax Eurobox (EBOX)
easyJet (EZJ)
Endeavour Mining (EDV)
Wincanton (WIN)