Shares of Irvine healthcare real estate owner Sabra Health Care REIT Inc. rose today on news that the company is being added to Standard & Poor’s SmallCap 600 stock index.
Sabra shares were up 5% for a market value of about $592 million.
Sabra, which owns nursing homes and other healthcare facilities and leases them back to operating companies, is set to be added to the S&P SmallCap 600 on June 15.
It’s replacing Kensey Nash Corp. of Exton, Pa., on the index.
Kensey Nash, a medical device maker, is being removed from the index because it’s being acquired by Royal DSM of the Netherlands.
Joining an S&P index typically drives a surge in the stock prices of added companies as mutual funds that mimic the indexes buy shares.