Shares in BlackBerry dropped on Monday after being removed from Canada’s bluechip stock index. Shares of BlackBerry were 6% lower at C$6.7 in morning trade.
Index manager S&P Dow Jones Indices said on Friday it will remove BlackBerry and Bombardier from the S&P/TSX 60 index effective Monday.
S&P considers several factors towards the inclusion of a company on an index, including market capitalization and trading liquidity – the shares not held by insiders and are easily available to the public.
BlackBerry shares have lost nearly 20 per cent this year so far. During its heyday, the company enjoyed a market value of about $84 billion, and is worth less than $4 billion today.
BlackBerry and Bombardier are replaced by renewable power company Algonquin Power & Utilities Corp and Canadian Apartment Properties REIT.
