On Tuesday 1 April, SmallCap+ and MidCap+ become a reality.
The SmallCap+ and MidCap+ companies make a special effort to ensure that their shares live active lives on the Exchange. Among other things, the new segments are put in a more attractive display window at the Exchange than previously, they will, for instance, be presented under their own main headings in the Official List and the Exchange's website. In future, the investors will find it easier to identify companies that have a large order coverage and a narrow spread in the trading system, present activities to build investor goodwill and provide detailed information more frequently and directly to the market than prescribed by the Exchange. Among other things, the SmallCap+ and MidCap+ companies all present quarterly reports.
President and CEO Johan Schrøder, Radiometer, said: "The introduction of the SmallCap+ and MidCap+ segments on the Copenhagen Stock Exchange is one of the largest innovations on the Danish equity market in a long time. The new plus segments are a pat on the shoulder from the Exchange to those companies that take their listing seriously. It is important that the investors now have access to information about which of the many small and medium-sized companies that have both sound liquidity in their shares and present activities to build investor goodwill. Focus on the SmallCap+ and MidCap+ companies will no doubt increase, which will probably improve liquidity in the shares in question - and perhaps even the total share trading volume on the Exchange."
The following companies have been selected for MidCap+ and SmallCap+:
| MidCap+ | SmallCap+ | |
| Name | Name | |
| Auriga Industries B | Brdr.Hartmann B | |
| Bang & Olufsen B | D/S Torm | |
| Bryggerigruppen | Danionics | |
| Chr.Hansen Holding B | Danware | |
| Codan | DLH B | |
| Danske Trælast | EDB Gruppen | |
| DFDS | Flügger B | |
| FLS Industries B | Greentech Energy Systems | |
| FORAS Holding | GrønlandsBANKEN | |
| Forstædernes Bank | H+H International B | |
| Genmab | Harboes Bryggeri B | |
| Københavns Lufthavne | Hedegaard | |
| Monberg & Thorsen B | Højgaard Holding A | |
| Nordisk Solar Co.B | Højgaard Holding B. | |
| Radiometer B | Haandværkerbanken | |
| Ringkjøbing Landbobank | IC Companys | |
| Roskilde Bank | Jeudan | |
| SimCorp | Kompan B | |
| Spar Nord Bank | NESA | |
| Sydbank | Nordicom | |
| Østasiatiske Kompagni | Per Aarsleff B | |
| Aarhus Oliefabrik | Pharmexa | |
| Ringkjøbing Bank | ||
| Sanistål B | ||
| Satair | ||
| Skjern Bank | ||
| Thrane & Thrane | ||
| U.I.E. |
MidCap+ will have 22 constituents out of 39 potential MidCap+ candidates. The 22 selected shares account for 74 per cent of the free float adjusted (freely negotiable) market capitalisation of all potential MidCap+ shares and 78 per cent of the turnover.
28 shares out of 148 candidates will be included in SmallCap+. The SmallCap+ shares account for 40 per cent of the free float adjusted market capitalisation of the small listed companies and for 47 per cent of the turnover.
Twice a year, at the beginning of June and December, the Copenhagen Stock Exchange will select companies for the plus segments, and new revised plus segments will enter into effect at the beginning of July and at the beginning of January each year.
The selection for the first shortened period from 1 April to 1 July took place on the basis of trading data from 1 September 2002 to 1 March 2003. Several companies have entered into a market maker agreement with a member of the Copenhagen Stock Exchange, and thus they are sure that the order coverage and spread requirements will be satisfied as from 1 April 2003. Against this background the Exchange has granted an exemption to these companies so that they may be included in either MidCap+ or SmallCap+ from the beginning.
Performance indices will be calculated on the new plus segments. The indices are free float adjusted like the KBX benchmark index. In free float adjusted indices only the portion of a company's shares which is in fact freely negotiable is included. Strategic holdings, where for instance a fund owns more than 5 per cent of the company's total share capital, will not be included in the index.
