Zomato shares rise over 7% on Sensex entry, replacing JSW Steel

Shares of Zomato rallied as much as 7.6 per cent on Monday, buoyed by the stock’s entry into the benchmark Sensex. On Friday, BSE’s index composition arm announced that the food delivery major will replace JSW Steel in the 30-share index next month. The addition is expected to channel nearly Rs 4,000 crore into the stock on account of passive buying.

Shares of Zomato finished at Rs 274, up 3.6 per cent, valuing the company at Rs 2.42 trillion. Zomato’s Sensex entry follows the stock’s inclusion in the futures and options (F&O) segment. Zomato is also expected to be added to several other indices.