Luxembourg-based investment group CIP has placed a 10% stake in Tate & Lyle on the market, not long after the UK-based sugar and sweetener group was readmitted to the FTSE 100 index of leading shares.

Tate & Lyle's stock was readmitted to the FTSE 100 index, after a seven year absence, on the back of the recent strong performance by the shares, reported the Financial Times.

CIP's sale of the stake ends a near 30-year relationship between the two companies that began when Tate bought a stake in Amylum, CIP's European starch business, in 1976. Tate bought CIP's stake in Amylum and also its US starch business Staley for £274m (US$521.5m) in 2000.