Gallaher Group, the tobacco manufacturing and wholesale company, is to leave the FTSE 100 from the close of trading today, after its takeover by Japan Tobacco Inc. It will be replaced in the index by the pub company Punch Taverns, which will move up from the FTSE 250.
Gallaher Group has been in the FTSE 100 continuously since September 2001, while this is the first time Punch Taverns will be in the blue chip index. Replacing Punch Taverns in the FTSE 250 will be computer software retailer Game Group.
Punch Taverns goes into the FTSE 100 as the highest positioned company by market capitalisation on the FTSE 100 reserve list at close on Friday 13th April. In line with the FTSE UK index ground rules, the company removed from the FTSE 100 is replaced by the highest company on the reserve list at the close of the index calculation two working days prior to the deletion.
Reserve lists are created at each UK quarterly review, and contain the next six companies ranked in order of market capitalisation below the FTSE 100. Reserve lists are used in between index reviews in case of corporate actions or mergers. From tonight’s close the remaining FTSE 100 reserve list will contain Mitchells & Butlers, Easyjet, Burberry Group and Barratt Developments.
