RE: *********** NEWS *************I would have posted it this way!
ING Canada Inc. and a slew of resource companies are among potential additions to the S&P/TSX composite index, while coffee seller Van Houtte Inc. may be dropped, UBS Investment Research said Thursday.
The expected index changes that will result from the regular quarterly review will be announced between March 9 and 14, UBS said in a report. The changes will take effect after the close of trading on March 17.
In addition to ING Canada, analyst Garry Cooper listed 10 other companies that appear to meet the index's criteria for inclusion, such as requirements for minimum float capitalization and liquidity.
EuroZinc Mining Corp., Petrobank Energy and Resources Ltd., Producers Oilfield Services Inc.,
Connacher Oil & Gas Ltd., Alamos Gold Inc., Silver Wheaton Corp., and UEX Corp. are the resource-based companies Mr. Cooper listed.
Other potential candidates are Canaccord Capital Inc., Cardiome Pharma Corp., and GMP Capital Trust.
Mr. Cooper's calculations indicate that Van Houtte, a Montreal-based coffee distributor and retailer, failed to meet the minimum size requirements to remain on the S&P/TSX composite index. However, the company may have survived being cut because its closing price on Feb. 28 appears to have pushed the relative weight of the company over the cut line, he said.
Inclusion on the composite index usually boosts a company's stock price, since index-tracking funds have to buy its shares.