s&p/asx 300

The companies that make up the S&P/ASX 300 are reviewed every 6 months, a process called rebalancing, and all companies are evaluated on both their liquidity and market cap using the prior 6 months data. Looking at the current list of ASX 300 companies and their market caps, MAD would probably only need an average market cap of 300 million since April 1 to get into the ASX 300 in September, so I think they will do it comfortably... particularly if August turns out to be a good month.

Personally, I don't think it will be long until MAD is knocking on the door of the ASX 200. I think they have the liquidity required and they would need an average market cap of about 6-650 million. All going well, it is not difficult to imagine MAD in the ASX 200 in September 2013.

Out of interest, AUT (there is a lot to like about AUT but I am much happier holding MAD, all things considered) has a market cap of around 1.5 billion and currently comes in at about # 100 on the ASX 200 list. Once MAD really get their production cranking (and that might not take too long), I think they will move towards a similar market cap within the next few years. Time will tell.

Fund managers have certain rules within which they must operate (for example, having a minimum percentage of their portfolio comprised of ASX 300 / 200 stocks) so if/when MAD enters the ASX 300, more funds will be obliged to buy (or buy more).