Formerly known as Data Technology Corp., Photonics was a manufacturer of various computer peripherals including keyboards. In 1994, it boasted $400 million in sales, but took in the late '90s it began falling and never recovered as computers and their accessories grew drastically more common and less expensive. At last report, the company consisted of two employees and not much else, which would account for its share price of about 12 cents. In other words, it was ripe for a reverse merger by REpipeline.

"We felt to be able to be a good accumulator of assets, aggregating products together in one site, we really needed to be public," REpipeline Chief Finance Officer Chip Langston tells GlobeSt. "So we started discussions in the spring about merging with Photonics in order to fast-track our public exposure.... Photonics is public, and we're now part of Photonics."

As part of the deal, Photonics shareholders will own 15% of the newly formed company. Such reverse-merger activity is prevalent in today's roller-coaster market, says Langston, particularly for smaller companies looking to go public. "It's probably more common than you might think ... its got pros and cons," he says. "If you're not immediately trying to raise $50 to $100 million, which you really need to do with a big IPO with a major investment-banking firm, and if you're like us and primarily trying to use your paper for acquisitions, a reverse merger is a good way to go."