Get smart - get listed

Number 1: Serbia (14,300); Number 2: Macedonia (5,600); Number 3: Uzbekistan (2,180), Number 4: Kazakhstan (261)... no, we are not referring to the Eurovision Song Contest.

True, the countries we list are Eastern European - like the "much ado about nothing" misnomer of a geographically-impaired song contest. The ratings quoted are the highest growth (percentages in brackets) between 2001 and 2005 in the number of listed companies. The figures are published in the latest edition of The Economist's Pocket World in Figures. For the record, Malta ranks 25th with a 30% increase, with Cyprus - which joins us in the Eurozone on January 1, 2008 - placing 35th with a 20% increase.

The same publication ranks us eighth in terms of highest car ownership per 1,000 population. What effort is required for Malta to creep above Croatia, which ranks ninth in terms of the highest percentage growth in listed companies?

We mentioned two banks last week. But leaf through this newspaper again, and the magazine(s) circulated with it. Note the number of companies advertising in it, and work out the ratio of the listed to the unlisted ones. Ask the latter if they need any money - without borrowing - to finance and expand their business operations? What about creating a market for their shares not to leave their heirs dependent on the whims of surviving majority shareholders? If you need more ideas on the hows and whys of going public, drop us an e-mail.

Meanwhile, back on the Exchange, the week ended in a draw, with four equities in the plus column and four in the negative one, while the remaining six did not show up. The early part of the week cast a particularly apathetic (or should that read pathetic?) mood, especially when Tuesday's total equity turnover by value didn't even make it to Lm18,000!

However, activity came back on tap from Wednesday and was again strong on Friday, despite the shortened trading time, due to a technical fault. In total, 370,213 shares changed hands for a weekly value of Lm510,812.

In the performance tables, small cap Medserv plc (MDS) came out tops, up a striking 6.7% to a record high of Lm1.60, followed at a pronounced distance by Malta International Airports plc (MIA), ahead by 2.2%, Maltacom plc (MLC) gaining 2.1% and International Hotel Investments plc (IHI) up 1%. At the other end of the spectrum GlobalCapital plc (GCL) lost a crushing 5.3%, HSBC Bank Malta plc (HSB) shed 2.6%, Bank of Valletta plc (BOV) 1.1% and Fimbank plc (FIM) was virtually unchanged, down 0.3%.

BOV started the week unchanged at Lm3.68 but was down to Lm3.67 within the first 20 minutes of trading, to close the uneventful day at this price. Tuesday was an even poorer show with 2,157 shares traded at Lm3.651 and Lm3.65, closing at the former price. While activity came back on stream on Wednesday, the price was static closing at Lm3.65. Thursday started off in the same vein with the price advancing to Lm3.66 and rising to Lm3.67 in the last deal. The gains quickly came undone on Friday as BOV retreated from a Lm3.66 open to a Lm3.64 close to end the week 1.1% lower. Turnover amounted to 35,023 shares for a market value of Lm128,049. At the end of the week, total bids for 270 shares were at Lm3.63, whereas offers of 3,000 shares started at Lm3.65.

HSB opened Monday just a hint lower than the previous Friday at Lm1.949, trading at this price throughout the slow session with the exception of two deals, one at Lm1.95 and the other at Lm1.948. Tuesday's trading was carried out in the same tight range, closing at Lm1.95. Volume however was a risible 2,888 shares. Wednesday picked up the slack as more than 30,600 shares traded. However, the price slid back to Lm1.90 under heavy selling pressure in the first half an hour. Thursday saw HSB rebound to Lm1.94 only to recoil to Lm1.90 on Friday, as the equity was again subdued by a steady stream of sale orders. HSB ended the week 2.6% lower, making it the week's second-worst performer. HSB boasted the highest turnover by value this week with 78,932 shares for a value of Lm151,115. At the end of trading, bids for 500 shares were at Lm1.898, while the best offer for 1,479 shares stood at Lm1.90. On Friday, HSB issued an interim directors' statement, as required by the MFSA listing rules. This provided a very upbeat review for the first four months of this year, with "profit before tax, net interest income and non-interest income showing good improvement over the same period for 2006".

MLC only traded on two days this week. It made its first appearance on Wednesday, opening unchanged at Lm1.45, swiftly advancing to Lm1.48. After the initial flutter, during which 8,000 shares changed hands, it did not trade again. MLC made a re-appearance on Friday, when it peaked at Lm1.49, dropping a cent in the final deal to close at Lm1.48 on the day's turnover of 12,000 shares worth Lm17,812. The telecoms company ended the week in positive territory, up 2.1%. At the end of trading, best bids totalled 4,000 shares at Lm1.45, with a supply of 2,800 shares at Lm1.49.

MIA enjoyed a positive start to the week, rising 2% to Lm1.37. This, however, on one deal for 600 shares. It traded again on Thursday, maintaining the Lm1.37 mark. On Friday, the three deals struck were at Lm1.37, Lm1.379 and Lm1.38 respectively for MIA to end the week 2.2% ahead. Volume was an unimpressive 4,600 shares for a value of Lm6,312. At the end of the session, best bids were for 1,850 shares at Lm1.356 while offers for 2,100 shares started at Lm1.38.

FIM opened the week on Tuesday at $1.949 and inched ahead to $1.95 to close the day marginally ahead. It was down to $1.94 on Thursday on two deals for 3,000 shares, while Friday's trade consisted of one deal for 28,584 shares at the same price. FIM ended the week minimally lower by 0.3%. On Wednesday, FIM announced that the attribution price for the scrip dividend announced in February is US$1.55, while on Friday the company - in line with recently amended MFSA Listing Rules - announced that that the financial position has remained sound and the performance in line with the trend experienced for the financial year ended December 31, 2006, and considered in the outlook for 2007.

IHI only came to life on Friday in a busy session when 119,138 shares traded. It started out a cent down at €1.07, advanced to €1.08 at which one trade for 100,000 shares was matched, to close at €1.091, 1% higher on the previous week.

MDS opened the week accelerating to yet another new high of Lm1.55 on one deal for 5,000 shares. It traded again on Wednesday on comparatively high volume of 53,470 shares, trading consistently at Lm1.55, to peak at Lm1.56 for the last deal. It powered ahead on Thursday when 16,000 shares all traded at Lm1.60, setting yet a new all-time high. Volume for the week was large cap stock stuff, with 74,470 shares traded for a value of Lm116,244 - a near 23% of the week's total equity turnover - very good going for a small cap newcomer.

GCL lost 4c to Lm1.86 in the week's opening deal for a puny 206 shares. It fell further on Tuesday, slipping to Lm1.80 on a 500-share deal. GCL did not trade again to lose a hefty 5.3% on the week's ludicrously low volume of 706 shares.

The companies which did not trade were Lombard Bank plc, Middlesea Insurance plc, Simonds Farsons Cisk plc, Plaza Centres plc, Grand Harbour Marina plc and Datatrak plc (DTK).

DTK announced on Monday that DTK Solutions Ltd, one of its subsidiaries, has concluded a contract with Euro Car Parts Ltd whereby one of its products, Dispatch IT, will be running on 450 mobile units at Euro Car Parts.

In the Government Bond market, turnover by value was once again exceptionally high this week, reaching Lm8.85 million with 16 issues traded. One deal for Lm7 million in the 5.75 MGS 2010 (ii) accounted for 83.6% of this figure. Trading in 5.6% MGS 2007 (iii) which matures on June 10 was suspended as from Wednesday. The corporate bond market slowed down considerably with 24 deals completed for a total turnover value of Lm51,591. Turnover value in the Treasury Bill market totalled Lm1.2 million.

Financial Planning Services Limited is licensed by the MFSA to provide investment services, including stockbroking (IS/3608). The company is involved in acting as sponsoring stockbroker and corporate stockbroker. The directors or related parties, including the company, and their clients, are likely to have an interest in securities mentioned.