Marks & Spencer has avoided relegation from the FTSE 100 as online grocery retailer Ocado moves into the elite group of UK-listed firms, it has been confirmed.
Online gambling company GVC Holdings will join Ocado in its promotion, while South African private healthcare provider Mediclinic International and security company G4S will fall into the FTSE 250 to make way.
The changes take effect on Monday 18 June.
M&S had been put forward by commentators as one to watch during the quarterly reshuffle, as the 134-year-old British company struggles against tough competition in clothing and food, its two main offerings.
Only a week ago they announced plans to close a total of 100 stores by 2022 under a five-year transformation plan, placing thousands of jobs at risk.
M&S, which has seen its shares fall 5.5% this year, has been a member of the blue-chip FTSE since the index began in 1984.
Image: Marks and Spencer had been put forward as a possibility for relegation
The re-shuffle was based on closing prices from Tuesday and M&S had been just nine spots away from falling into the FTSE 250 zone, according to Thomson Reuters data based on last Thursday’s closing prices.
Ocado, on the other hand, has had a stellar year, announcing earlier this month an exclusive partnership with America’s second-biggest supermarket chain – sending the UK online grocer’s shares to record levels.
In March, they announced £363.4m retail revenues for the 13 weeks to 4 March and sales that were 11.7% ahead of the same period last year, despite a slower rate of growth they blamed in part on the bad weather.
The online grocery business had no comment on its promotion when contacted. Its shares had risen 1.5% during Wednesday but the FTSE announcement was made after the London Stock Exchange closed for the day.
Its stock has rocketed by 124% year-to-date.
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Retailer Mothercare and fashion chain Moss Bros were both relegated from the FTSE All-Share to the FTSE Fledgling index after their market value shrank.