This is an extension of a question I previously asked here.
Long story short, I dynamically load a DLL and make a type out of it with the following code:
Yes, you aren't actually specifying any code to run outside the class initializer. For instance, with forms you have to actually show them.
You could modify your code to the following...
Assembly assembly = Assembly.LoadFile("C:\\test.dll");
Type type = assembly.GetType("test.dllTest");
Form form = Activator.CreateInstance(type) as Form;
form.ShowDialog();