Cognizant will replace the newly constituted
, which will drop down to the S&P Mid-Cap 400. In a deal expected to close on Thursday, Alberto-Culver is issuing a $25-a-share special dividend and splitting its remainder into two companies: Alberto-Culver and
Sally Beauty Holdings
Shares of Cognizant rose $2.95, or nearly 4%, to $79.75 in recent after-hours trading. Index funds mirroring the S&P 500 would be expected to purchase shares of Cognizant to update their holdings.