British Land to drop out of FTSE 100 in reshuffle but Ocado survives

theguardian.com:

The property developer British Land is being relegated from the UK’s blue-chip share index, ending a 21-year run in the FTSE 100 after its value was hit by rising interest rates and the disruption caused by last autumn’s mini-budget.

The online supermarket and retail technology group Ocado has clung on to its prized spot in the ranking, however, despite a sharp fall in its value since the heights of the pandemic.

The index provider, FTSE Russell, announced the latest quarterly shake-up on Wednesday evening. The index, which features the 100 most highly capitalised companies whose shares are traded in London, is rebalanced four times a year by relegating any company that has fallen below 110th position on the London market.

Stocks in the smaller FTSE 250 index can be automatically promoted if they’ve risen to 90th place or higher based on Tuesday night’s closing share prices. The reshuffle takes effect from the start of trading on Monday 19 June, when British Land will move to the FTSE 250.

Ocado had also been vulnerable to ejection from the FTSE 100, but a pickup in its share price last week helped it to hold its position.

Ocado is the worst-performing member of the FTSE 100 this year, down almost 40% since the start of 2023. Its shares have plunged by 85% since their peak in September 2020, when pandemic lockdowns boosted demand for home grocery deliveries.

Frasers Group, the retail chain founded by Mike Ashley, also managed to hold onto its position in the FTSE 100 index despite a fall in its value this year.

British Land has been hit by soaring interest rates, which have hurt the UK commercial property market, on top of the move towards home working. Its shares have dropped by 13% so far this year, a fall that ended more