Avast among the elite of the London Stock Exchange. Avast entered the index alongside Vodafone and Shell.

Shares of the Czech antivirus company Avast have been trading since Monday morning as part of the prestigious FTSE 100 index. In other words, Avast has become one of the most largest companies on the London Stock Exchange.

This is the first time that a company based in one of the countries of the the former Eastern bloc (with the exception of Russia). Most of the companies in the index, which maps the 100 largest companies traded on the London Stock Exchange, are based in Britain or Ireland. FTSE 100 companies account for about four-fifths of the total UK stock market.

“It is two years after entering in the London Stock Exchange, we have become part of the index, which is one of the most prestigious in the world, and that is a great honor for us” says Ondřej Vlček, CEO for Avast.

According to the stock exchange guidelines, any stock that falls to position 111, or lower is automatically removed from the FTSE 100, while any item that is position 90 or higher is added to the index. Avast will thus be traded alongside major players such as Royal dutch Shell, Unilever or Vodafone.

Bloomberg reported that Avast's entry into the index fits in with the growing trend of multinational companies replacing British stocks. It is often difficult for them to stay on the benchmark: last year, for example, the retail chain Marks & Spencer dropped out of it, and the same fate awaits the air carrier EasyJet and the cruise ship operator Carnival.

Over the thirty years, Avast has become one of the largest Czech companies ever - its current market capitalization is less than 160 billion crowns. From comparison, energy gigant ČEZ is at the level of 262 billion crowns. Avast also has by far the largest reach of the world among Czech companies, with a total of 435 million users.

“i thank to all our customers, employees and investors for being with us - where we are is mainly their credit. We look to the future with optimism and looking forward to what it will bring” adds Vlček to the entry in the index.

His company’s shares have been doing well. they have climbed back to pre-pandemic values and in recent days are even approaching historical highs. In January of this year, before the Jumpshot case with the shares of personal anonymized user data they reached 551 pence, on Monday morning they were behind 536 pence (followed by a slight decrease).

Although the inclusion of Avast among the London elite can be considered more of a symbolic milestone, there is also a very real impact on trade. Funds investing according to passive investment strategies will be interested in the company. .

Avast stocks will buy regardless of the price only because they copy the composition of the FTSE 100 index.

Source : https://www.forbes.cz/avast-mezi-elitou-londynske-burzy-vstoupil-do-indexu-po-bok-vodafonu-ci-shellu/