Coty set to replace Diamond Offshore Drilling on the S&P 500
S&P Dow Jones Indices has announced that Coty is replacing Diamond Offshore Drilling in the stock market index Standard & Poor’s 500 (S&P 500).
S&P Dow Jones Indices act as a benchmark for investable companies. Coty is the second personal care company listed on the S&P 500, joining Estée Lauder.
Coty will join the S&P 500 Global Industry Classification Standard in the Personal Products Sub-Industry index. Its shares rose 5% after the announcement was made.
Diamond Offshore Drilling will now join the S&P MidCap 400, replacing Polycom. Its stock has dropped almost 70% since 2014 and is said to have a total value of $2.2bn.
The change is due to take place after the close of trading on 30 September.
Meanwhile, P&G has set the final exchange ratio for stockholders wishing to trade its shares for stock in Coty.
The assets of the P&G Speciality Beauty Brands business will transfer to Galleria, a subsidiary created specially for the transaction. Galleria will then merge with Coty in a deal expected to close in October.
P&G said that stockholders can exchange 3.9033 shares of Galleria common stock for each share of P&G’s common stock.
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