Commerzbank AG will be replaced on Germany's blue-chip DAX index by payments provider Wirecard AG, effective Sept. 24, according to Deutsche Börse AG.
Commerzbank, which will move to the second-tier MDAX, was one of the 30 founding members of the DAX in 1988, Reuters noted in a Sept. 6 report, adding that the lender's expulsion from the index had been widely expected due to its declining share price. Wirecard currently has a market capitalization of $26.13 billion, more than twice that of Commerzbank's $11.87 billion, according to S&P Global Market Intelligence data.
Commerzbank CEO Martin Zielke said there will be no changes for its customers and its business following the change, noting that the lender's strategy of transforming into a digital enterprise is justified as the market appears to value financial technology firms more highly than traditional banks, Reuters added.
Deutsche Bank AG earlier confirmed that it will drop out of the Euro Stoxx 50 index, also effective Sept. 24.
Deutsche Börse said it also applied new rules that eliminated the segregation of technology and classic stocks in its MDAX, SDAX and TecDAX indices, and increased the number of firms in the mid-cap MDAX and small-cap SDAX to 60 and 70, respectively. TecDAX will continue to comprise 30 constituents with a focus on technology.
Also joining the MDAX are Qiagen NV, Siemens Healthineers AG, United Internet AG, Sartorius AG, MorphoSys AG, freenet AG, Siltronic AG, Evotec AG, Bechtle AG, Telefónica Deutschland Holding AG, 1&1 Drillisch AG, Software AG, Nemetschek SE and alstria office REIT-AG.
Ceconomy AG, Leoni AG, Ströer SE & Co. KGaA, Jungheinrich AG and Talanx AG are moving from the MDAX to the SDAX, where they will be joined by Carl Zeiss Meditec AG, Jenoptik AG, Cancom SE, Dialog Semiconductor PLC, Aixtron SE, S&T AG, CompuGroup Medical SE, Befesa SA, Isra Vision AG, Xing SE, Pfeiffer Vacuum Technology AG, RIB Software SE, Shop Apotheke Europe NV, Nordex SE, Drägerwerk AG & Co. KGaA, SMA Solar Technology AG, Medigene AG, BayWa AG and Dr. Hönle AG. Grammer AG, ElringKlinger AG and Biotest AG are leaving the SDAX along with alstria office REIT.
SAP SE, Deutsche Telekom AG and Infineon Technologies AG will replace SLM Solutions Group AG, Medigene and SMA Solar Technology on the TecDAX.
Deutsche Börse will next review its equity indices Dec. 5.