Description

Genus Power Infrastructures Ltd. is demerging its Strategic Investment business into Genus Prime Infra Limited effective February 06, 2026, resulting in changes across multiple BSE indices including BSE 1000, BSE NEXT 500, and BSE SMALLCAP.

Summary

BSE announced changes to multiple indices effective February 06, 2026, due to the demerger of Genus Power Infrastructures Ltd.’s Strategic Investment business into Genus Prime Infra Limited. Genus Power (ticker: 530343) will be removed from several indices, with ASM Technologies Ltd. (ticker: 526433) and Prime Focus Ltd. (ticker: 532748) being added as replacements in various indices.

Key Points

  • Genus Power Infrastructures Ltd. (530343) is demerging its Strategic Investment business into Genus Prime Infra Limited
  • Effective date for all index changes: February 06, 2026
  • ASM Technologies Ltd. (526433) will replace Genus Power in BSE 1000, BSE NEXT 500, BSE Next 250 Microcap, and BSE 1000 MULTICAP EQUAL SIZE WEIGHTED (25%)
  • Prime Focus Ltd. (532748) will replace Genus Power in BSE 250 MICROCAP and will be removed from BSE Next 250 Microcap (replaced by ASM Technologies)
  • Genus Power will be dropped from BSE SMALLCAP, BSE ALLCAP, BSE INDUSTRIALS, and BSE MIDSMALLCAP without replacement
  • Changes included in end-of-day corporate action file (*.SDE)

Regulatory Changes

No regulatory changes. This is an operational index rebalancing due to a corporate action (demerger).

Compliance Requirements

  • Index fund managers and ETF providers tracking affected BSE indices must adjust their portfolios to reflect the new index compositions
  • Market participants should note the changes in index constituents for trading and investment strategies
  • Clients with queries should contact bseindex@bseindia.com

Important Dates

  • February 02, 2026: Circular notice date
  • February 06, 2026: Effective date for all index changes and demerger

Impact Assessment

Market Impact: Medium impact on index-tracking funds and ETFs that replicate the affected BSE indices. Fund managers will need to rebalance portfolios by selling Genus Power shares and purchasing ASM Technologies and Prime Focus shares.

Operational Impact: The removal of Genus Power from 9 different BSE indices and the addition of replacement stocks will require coordinated trading activity. Index funds with significant assets under management may experience tracking errors during the transition period.

Investor Impact: Passive investors in index funds tracking BSE 1000, BSE NEXT 500, BSE SMALLCAP, and other affected indices will see automatic portfolio adjustments. Active investors should be aware of potential price movements in all three stocks (Genus Power, ASM Technologies, Prime Focus) around the effective date due to index rebalancing flows.

Impact Justification

Medium impact due to index constituent changes affecting multiple BSE indices and potential portfolio adjustments for index-tracking funds. The demerger of Genus Power results in its removal from several indices with ASM Technologies and Prime Focus being added as replacements.