Warhammer Maker Ascends to FTSE 100 Index as Retailers Drop Out
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(Bloomberg) -- Warhammer developer Games Workshop Group Plc and investment trust Alliance Witan Plc earned UK blue-chip status for the first time after both stocks soared to record highs.
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The companies, along with wealth manager St James’s Place Plc, will be added to the FTSE 100 Index after markets close on Dec. 20, index compiler FTSE Russell said in a statement Wednesday, potentially spurring demand from so-called tracker funds. They replace homebuilder Vistry Group Plc, as well as retailers Frasers Group Plc and B&M European Value Retail SA.
For Games Workshop, inclusion in the benchmark caps an ascent that has seen the stock’s value multiply about 23 times over the last eight years, taking its market capitalization to 4.7 billion pounds ($6 billion) as of Wednesday’s close.
The stock — a market darling during the pandemic, when lockdowns boosted demand for home-based hobbies — has gained traction as the fantasy table-top franchise Warhammer has grown in popularity with players across the world. Expansion in North America and licensing its intellectual property for computer games have helped drive gains in sales and margins.
Alliance Witan steps up to the FTSE 100 only months after being formed in a merger. The combination of Alliance Trust and Witan Investment Trust created a combined entity with net assets of around £5 billion, the companies said at the time the deal was announced.
St. James’s Place, meanwhile, is rejoining the blue-chip gauge only six months after being relegated to the midcap FTSE 250 Index. The stock has surged 27% this year after the UK’s largest wealth manager reported rising inflows and pledged cost savings.
B&M exits the FTSE 100 having been one of the benchmark’s worst-performing members of 2024. Its shares have fallen about 38%, weighed down by concerns over whether discount stores can grab market share during the economic downturn.
Frasers — founded by billionaire Mike Ashley — has also had a difficult year in the stock market, with shares in the Sports Direct parent falling 19%.
Vistry’s demotion to the FTSE 250 became inevitable after a second profit warning in the space of a month sent its stock value plunging, With a market capitalization of £2.2 billion, the housebuilder is by far the FTSE 100’s smallest member.
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