During this morning’s trading session, the share price of International Hotel Investments temporarily touched an 11-month high of 78c before easing back to the 75c level which still represents a 10.3 per cent uplift from the previous closing price.
Trading activity increased to 74,712 shares across 10 deals.
This morning’s positive performance follows the revelation (in the chairman’s statement in the 2014 annual report sent to all shareholders yesterday) of the group’s plans to issue a €170 million international secured bond through a special purpose vehicle which has obtained a single ‘B’ rating to refinance bank borrowings and release funds that are currently being used for periodic capital repayments.
Additionally, the chairman revealed that the company is in negotiations with the regulator on a range of alternative options on how to reward free-float shareholders.
These revelations also coincided with the preliminary launch of the €400 million project at St George’s Bay which will comprise two luxury hotels (a beachfront resort and a lifestyle hotel for corporate visitors) as well as residential apartments, commercial space and retail outlets.
GO shares also closed this morning’s session at a fresh 2015 high of €3.02,5 albeit on much lower volumes of 3,340 shares.
Similarly, the share price of RS2 Software advanced by a further 2.8 per cent to a new all-time high of €3.30 across 11 deals totalling 21,038 shares. RS2 is scheduled to hold its annual general meeting on June 9 and a two for one share split will take place following the trading session of June 12.
Simonds Farsons Cisk also closed at a new all-time high of €3.75 representing a 2.7 per cent increase over the previous closing price. However, trading activity in this equity was insignificant with only 750 shares changing hands.
The only other positive equity was HSBC as the equity continued to rebound from recent declines with a further 1.1 per cent increase to regain the €1.85 level across 37,155 shares.
On the other hand, the share price of Bank of Valletta eased 0.4 per cent lower back to the €2.27 level across 18 deals totalling 33,887 shares.
Likewise, the equity of Malta International Airport trended in negative territory today with a 2.5 per cent drop back to the €3.35,9 level across eight deals totalling 16,000 shares.
Earlier this week, the airport operator held its annual general meeting during which shareholders approved all the items on the agenda including the final gross dividend of 12c31 per share which will now be distributed on June 8.
Meanwhile, no changes were registered in the share prices of Lombard Bank Malta (€1.98) and FIMBank (46cUS) on shallow volumes. Likewise, the share price of Medserv ended this morning’s session unchanged as it held on to its all-time high of €2.20 across 7,125 shares.
On the bond market, the Rizzo Farrugia MGS Index edged 0.1 per cent higher to 1,148.932 points as the benchmark 10-year Eurozone yields slipped back below the 0.6 per cent level reflecting increased demand for the ‘safe-haven’ bunds as Greece faces a potential default as well as following comments made by the President of the European Central Bank Mario Draghi who once again called on European governments to enact the necessary reforms in a bid to counter the high levels of unemployment and low investment.
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