Today's Small-Cap Winners and Losers

First Avenue Networks(FRNS Quote) soared 30% Monday on news the McLean, Va.-based fixed-wireless-transport-services company had entered into an agreement with FiberTower, a provider of wireless backhaul, to combine the two companies in an all-stock transaction.

The agreement calls for First Avenue to issue about 73.7 million of its common shares, worth roughly $873 million, to FiberTower shareholders, who will own 51% of the combined entity. The combined company will be named FiberTower Corp. and will be listed on the Nasdaq under the FRNS ticker. Michael Gallagher, First Avenue's president and CEO, will serve as CEO of the new entity. The deal is expected to close by the end of the third quarter. Shares gained $2.90 to $12.56 in recent trading.

Central Vermont Public Service(CV Quote) gained after Matrix Research upgraded the Rutland, Vt.-based utility to hold from sell. The analyst's report cited the company's work at improving its financial standing as a reason for the upgrade. "We believe the company is implementing a good strategy to improve performance," the report said. Central Vermont Public Service gained $1.03, or 6.1%, to $17.96 in recent trading. ...