Romarco Minerals Inc. (TSX: R) announced on July 30, 2015, that it had agreed to be acquired by OceanaGold Corporation (TSX: OGC) in an all-stock transaction valued at approximately C$856 million.
Romarco is the eighth Ubika Gold 20 component company to be taken over since the Ubika Gold 50 Index, the predecessor to the Ubika Gold 20, was created in February 2010. The slimmed down Ubika Gold 20 was relaunched on May 2, 2014.
Other companies in the Gold 20 index that have been acquired in the past include Rio Alto Mining, Sulliden Gold, Avion Gold, Gold-Ore Resources, PMI Gold Corp., Rainy River Resources, and RX Gold & Silver.
For most small cap investors there is a lack of good quality, widely available research and information on promising junior gold exploration companies. In selecting the companies, Ubika Research used a combination of qualitative and quantitative methodologies. Index constituents generally have certain market based criteria, including market capitalization between $2 billion and $25 million, three month average daily trading value above 100,000 and a price above $0.25. Ubika Research endeavors to select companies that can provide investors above average returns through earnings growth and exploration potential. Its selection process considers factors such as Net Asset Value (NAV) model, resource analysis, earnings criteria, management and geographical risk.
Despite a challenging year for gold stocks, the Ubika Gold 20 index outperformed the TSX Gold index by nine percentage points during the past 52 weeks. To discover more top gold stock performers please see the complete Ubika Gold 20 index reports here >>
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