NEW YORK, June 22 (Reuters) - Standard & Poor's said on Monday wireless communications company MetroPCS Communications Inc will replace Tyco Electronics Ltd in its flagship S&P 500 stock index.
Tyco Electronics is leaving the index after the close of trading on June 25 because it is reincorporating in Switzerland, making it ineligible for inclusion, S&P said. MetroPCS will join the index after the close of trading on June 29, S&P said.
Shares of companies joining the S&P 500 often rise because many portfolio managers try to track the index, and must buy shares of companies that enter it.
MetroPCS shares rose 80 cents to $14.42 after hours within minutes of the S&P announcement, after falling 24 cents to $13.62 in regular trading. The company is based in Richardson, Texas.
(Reporting by Jonathan Stempel) Keywords: SP500/CHANGES (jon.stempel@thomsonreuters.com +1 646 223 6317; Reuters Messaging: jon.stempel.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Tyco Electronics is leaving the index after the close of trading on June 25 because it is reincorporating in Switzerland, making it ineligible for inclusion, S&P said. MetroPCS will join the index after the close of trading on June 29, S&P said.
Shares of companies joining the S&P 500 often rise because many portfolio managers try to track the index, and must buy shares of companies that enter it.
MetroPCS shares rose 80 cents to $14.42 after hours within minutes of the S&P announcement, after falling 24 cents to $13.62 in regular trading. The company is based in Richardson, Texas.
(Reporting by Jonathan Stempel) Keywords: SP500/CHANGES (jon.stempel@thomsonreuters.com +1 646 223 6317; Reuters Messaging: jon.stempel.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.