The newly reconstituted Russell MicroCap Index took effect after last Friday's close. The Russell MicroCap Index is re-balanced annually to ensure accurate representation of the ever-changing market. The Index consist of the smallest 1,000 securities in the small-cap Russell 2000 Index, plus the next 1,000 smallest eligible securities by market cap. 148 issuers were added to the index on Friday. See the full list of 2016's Russell MicroCap Index additions and deletions HERE.
On Jun 10, 2016, FTSE Russell announced the preliminary rebalance of their indexes. This announcement included additions and deletions from the Russell MicroCap Index. The preliminary rebalance is the first step of the Russell Indexes' annual reconstitution. Russell rebalances all of their indexes once a year to "keep the indexes’ representation of the markets or market segments reflective of new market information". For example, when a company grows too large for the MicroCa
May saw 42 micro-cap acquisition announcements made by OTC QX, QB, and PINK issuers.
Disclosed deal value for the month reached over $120 million. The majority of consideration for May acquisitions was stock (approx. $81 million).
Companies saw an overall positive market reaction to acquisition news. On average, companies saw trading volume nearly double and price increase on the day of acquisition news.
See the full list of OTC micro-cap issuers working on acquisiti