IndiGo to replace Tata Motors in Sensex: What's the reason?
23 Nov 2025

InterGlobe Aviation, the parent company of IndiGo, will replace Tata Motors Passenger Vehicles in the BSE Sensex index from December 22, 2025.

The announcement was made by BSE Index Services Private Ltd.

The change comes after Tata Motors demerged its commercial vehicle (CV) and passenger vehicle (PV) businesses earlier this month.

Tata Motors' demerger leads to market cap drop
Demerger impact

The demerger of Tata Motors into two separate entities: Tata Motors Passenger Vehicles (TMPV) and Tata Motors Commercial Vehicles (TMCV), has resulted in a change in the Sensex constituents.

The market capitalization of the newly formed TMPV has dropped below the required limit to remain among the top 30 stocks by Free-Float Market Capitalization in this index.

A look at the share prices
Stock performance

IndiGo's shares closed 0.92% higher at ₹5,840.25 on Friday, compared to the previous market close of ₹5,786.85.

The airline company has given investors over 247% returns in five years and over 40% in one year.

Meanwhile, TMPV shares closed at ₹362.25 after gaining 0.69%.

Despite a five-year return of over 254%, the stock has lost more than 24% in one year.