Over the past week, the Malta Stock Exchange (MSE) index edged 0.08 per cent higher to 3,326.817 points, as gains in shares of HSBC Bank Malta plc and Go plc were offset by declines in Bank of Valletta plc (BOV), RS2 Software plc and Malta International Airport plc (MIA).
A total of 11 equities were negotiated, of which four closed in positive territory, another four fell, while three closed unchanged. Total turnover stood at €640,000 – a 10 per cent decline over the previous week.
In the banking sector, BOV shares were traded in the week’s highest turnover, worth €294,000. The banking equity touched a three-week low of €2.194 in intra-week trading, but then settled marginally higher at €2.201 as it failed to sustain a weekly high of €2.23.
On Friday, the bank announced it will be holding its annual general meeting on December 17. More information regarding the company’s AGM will be provided by the end of next month.
BOV’s peers traded in the opposite direction, with shares of Lombard Bank Malta plc and HSBC registering an increase of three per cent and one per cent respectively.
The former witnessed eight deals of 47,950 shares and closed at a two-month high of €1.699, whereas HSBC shares retouched the €2 price level following 10 transactions of 16,055 shares.
Telecommunications company Go continued to trend higher to settle at yet another fresh six-year high of €2.60 after it was traded in 14 deals of 32,010 shares.
The week’s other gainer was Tigné Mall plc, whose shares rebounded by 1.9 per cent over a sole trade of just 1,000 shares, to close at their one-month high of €0.525.
Shares in the IT sector hindered the index from settling higher with both shares of RS2 and Crimsonwing plc ending the week in the red.
Shares of Crimsonwing closed at their seven-month low of €0.80 after two deals of 3,740 shares were struck, whereas RS2 shares retreated from their all-time high of €2.95 following a deal of 2,800 shares.
Similarly, MIA shares closed €0.01 shy from their all-time high of €2.36 reached the previous week, as 10 transactions of 36,916 shares were negotiated.
On Wednesday, the board of directors of Simonds Farsons Cisk plc (SFC) approved the group’s interim financial statements for the six months ended July 31.
The group registered a profit before tax of €4.2 million, or a 3.4 per cent increase over the comparable period last year. Revenue for the period under review rose by 1.2 per cent, to €41.1 million. Earning per share increased to €0.132.
The board of directors have also agreed to distribute an interim dividend of €0.0333 per share, out of tax-exempt profits, distributable to shareholders on the company’s register as at October 3.
No trading took place in shares of SFC during the week.
The non-movers for the week were Medserv plc, Midi plc, and Global Capital plc. Shares of Medserv were traded in seven deals worth €49,000.
Island Hotels Group Holdings plc announced that following recent reports in the local media, the directors have noted that there are several major developments planned in St George’s Bay and its surrounding area in the hotel and other real estate sectors that are planned to have a material impact on the area, in particular during the construction phase.
Hence, the directors have decided to postpone the major refurbishment project of the construction of two further floors and a complete upgrade of the Radisson Blu St Julian’s until more information on these other projects becomes available.
However, the company will still be closing down the Radisson Blu St Julian’s in November for necessary maintenance and other minor works in anticipation of reopening in the near future.
In the corporate bond market, turnover shrank by 37 per cent to €571,000, as 26 issues were traded, of which 14 rose in value, while fallers and non-movers tallied at six.
The worst-performing issues for the week were those of Mediterranean Investment Holdings plc, as their 7.15 per cent paying bonds maturing between 2015 and 2017 – denominated in euro and Sterling – lost 4.1 per cent and two per cent respectively.
Meanwhile, the 5.6 per cent Global Capital plc euro 2014-2016 jumped by 5.6 per cent to €95.
In the sovereign debt market, turnover rose to €26.9 million, from €17.3 million recorded the previous week.
All of the 25 traded stocks, except those maturing over the coming two years, traded at higher prices, with the 4.3 per cent MGS 2033 issue heading the list of gainers, as it locked-in a 1.1 per cent gain.
On the other hand, the 7.8 per cent MGS 2018 was the most heavily traded, representing 57 per cent of total turnover.
Likewise, yields across the European region were pushed lower as further stimulus measures are expected by the European Central Bank, reflecting the drop in consumer confidence in Europe’s largest economy, Germany, as geopolitical tension continues to build up.
This article, which was compiled by Jesmond Mizzi, managing director of Jesmond Mizzi Financial Advisors Ltd, does not intend to give investment advice and the contents therein should not be construed as such. The company is licensed to conduct investment services by the MFSA and a member of the Malta Stock Exchange and a member of the Atlas Group. The directors or related parties, including the company, and their clients are likely to have an interest in securities mentioned in this article. For further information contact Jesmond Mizzi at 67, Level 3, South Street, Valletta, or on Tel: 2122 4410 or e-mail jesmond.mizzi@jesmondmizzi.com.