Wednesday's Small-Cap Winners & Losers

Small-cap stocks followed the major indices up Wednesday. The Russell 2000 Index gained 3.1% to 766.42, and the S&P SmallCap 600 got a 2.9% boost to 397.06.

Many of today's biggest winners were based outside the U.S., and several hailed from China. Leading the rally was Shanghai-based telecom media provider Linktone (LTON). The company announced that Indonesian firm PT Media Nusantara Citra would buy 51% of Linktone's outstanding shares for $3.80 per American Depositary Share, which represents a premium of 54% over the Tuesday closing price. Shares rocketed 32% to $3.27.

Meanwhile, China Finance Online (JRJC) closed its acquisition of Hong Kong securities firm Daily Growth Investment. China Finance bought an 85% equity interest in Daily Growth for about $3 million and has the right to buy the remaining shares within five years. Shares were up 24% to $21.10.

On news that Fuwei Films (FFHL) had hired independent accounting services from Kabani & Company to conduct a review of third-quarter 2007 financial results, shares of the Beijing film manufacturer took off 19% to $4.04.

Canadan firm QLT (QLTI) also took part in the action. The Vancouver biopharma company saw shares rise 26% to $4.91 after its board publicly declared it would seek a buyer of all or part of the company.

One U.S. small-cap to log gains was Overstock.com (OSTK). Shares of the Salt Lake City Internet discount retailer jumped 15% to $25.40 on an upgrade to hold from sell by Stifel Nicolaus.