<A> MetroNet Surges Despite Lack Of New Corporate Developments
By Ben Dummett
TORONTO (Dow Jones)--MetroNet Communications Corp. (METNF) will soon issue an announcement stating that there are no new corporate developments to explain the surge in its stock price.
"I'll probably issue a release (Wednesday) morning," Bruce Mann, vice president of investor relations at the Calgary-based telecommunications provider, told Dow Jones.
Mann guessed interest in the stock could reflect a number of factors. For one, RBC Dominion Securities Inc. just reiterated its "buy" recommendation on the stock, Mann said.
In addition, the company could be benefiting from a favorable article in Monday's Globe and Mail newspaper, and the recent appointment of Craig Young as the company's new president and chief executive. Young was previously president and chief operating officer of Brook Fiber Properties (now Brooks Worldcom).
Finally, recent gains in the stocks of U.S. telecommunications service providers could now be giving a boost to MetroNet's stock, Mann said.
In Toronto, MetroNet's stock is up 3.00 at 43.00, after having traded as high as 48.00 during the session. On Nasdaq, where the issue is most actively traded, MetroNet's stock is up 1 5/8 at 30 1/4, having traded as high as 33 7/8.
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