MSCI to Remove Swiggy From Global Index on FPI Limit Breach
· Business · Economic Times, LiveMint
MSCI will delete Swiggy from its Global Standard Indexes effective September 7, 2026, after the food delivery and quick commerce firm was classified under the foreign ownership limit event category. Swiggy shares fell 4% on Wednesday to Rs 264.55, their lowest since late July, extending a two-day decline to 6% and wiping nearly Rs 5,000 crore off its market capitalisation of Rs 77,813 crore. The pressure follows Swiggy's push to become an Indian-owned and controlled company, with shareholders last month approving a cap of 49.5% on foreign shareholding. Swiggy entered the NSDL red flag list on September 1 after foreign portfolio investor (FPI) holdings moved within 3 percentage points of the permitted limit, leaving foreign investors able to hold a maximum of 2.8 crore shares. The MSCI removal may force passive funds tracking the index to cut exposure, while the 49.5% foreign cap restricts fresh FPI buying, creating a double pressure point on the stock as analysts debate its long-term q
Why it matters
Passive global funds will be forced to sell Swiggy shares from September 7, and the 49.5% foreign ownership cap will curb fresh FPI inflows, weighing on the stock and Swiggy's access to foreign capital at a time when quick commerce competition is intensifying.
Read the original report — Economic Times
Join us on Telegram
Breaking news the moment it lands. At 10,000 members we ship the Android app.