UPDATE 1-Hikma to replace Inmarsat in FTSE 100 index

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UPDATE 1-Hikma to replace Inmarsat in FTSE 100 index

* Hikma to replace Inmarsat in FTSE 100
* Metro Bank , CYBG, CMC Markets to be added in FTSE 250
* Jimmy Choo, Melrose , Ophir Energy to leave FTSE 250

By Atul Prakash
LONDON, June 1 (Reuters) - Hikma Pharmaceuticals HIK.L
will be promoted to Britain's blue chip FTSE 100 .FTSE equity
index following a sharp rally in its shares since March, while
satellite firm Inmarsat ISA.L will drop out of the index.
The London Stock Exchange Group (LON: LSE ) said on Wednesday that the
changes will take effect on June 20.
Getting into the FTSE 100 can often fuel further demand for
a company's shares, since funds that track the FTSE or invest in
the index can then add that stock to their portfolio, while the
inverse is true if a company falls out of the FTSE 100.
Shares in Hikma, which reiterated its guidance for 2016 last
month and said it continued to expect full year group revenue in
the range of $2.0 billion to $2.1 billion, have surged 45
percent since mid-March.
On the other hand, Inmarsat has fallen 37 percent since
early February as the company is facing tough trading conditions
in its maritime and government markets businesses.
A slowdown in the global economy has hit its
shipping-related operations, one of the main engines for cash
flow in the satellite communications group.
The rankings are decided on the basis of market
capitalizations. Companies with the lowest market cap in the
FTSE 100 drop into the FTSE 250 mid-cap index .FTMC , and vice
The companies joining the mid-cap index included Metro Bank
MTRO.L , CYBG CYBGC.L , whose brands include Clydesdale Bank
and Yorkshire Bank, and CMC Markets CMCX.L . Shares in the
three companies have climbed between 10 percent and 30 percent
since the start of April.
Other companies to be promoted to the FTSE 250 index are
Countryside Properties CSPC.L , Hill & Smith Holdings HILS.L ,
Smurfit Kappa Group SKG.L and Ascential ASCL.L .
The companies being demoted to the FTSE small cap index
.FTSC are: Jimmy Choo CHOO.L , Highbridge Multi-Strategy Fund
HMSF.L , Interserve IRV.L , Lookers LOOK.L , Melrose
Industries MRON.L , Northgate NTG.L and Ophir Energy
OPHR.L , the Stock Exchange Group said in a statement.

(Editing by Sudip Kar-Gupta and Vikram Subhedar)

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