The share index closed virtually unchanged at 4,328.164 points as the upturn in the share price of Lombard Bank was offset by a decline in MaltaPost while all other active equities closed the day unchanged. Volumes were again on the low side with only €150,800 worth of shares changing hands.
Lombard Bank reversed most of yesterday’s decline as the equity moved up by 0.9 per cent to the €2.24 level across 14,000 shares.
On the other hand, the bank’s postal subsidiary, MaltaPost, eased 0.6 per cent from its all-time high of €1.80 and closed at the €1.79 level across 4,418 shares. The company’s board of directors is scheduled to meet on December 4 to consider and approve the financial statements for the year ended September 30.
Meanwhile, all other traded equities closed unchanged. Bank of Valletta maintained the €2.34 level across higher volumes of 32,499 shares.
The bank is expected to publish its annual preliminary results by the end of October.
Recently, the bank also announced that it lodged an application with the listing authority for a subordinated debt issuance programme of a maximum of €150 million over the next 12 months. Further details will be issued in the prospectus and final terms once approval is granted.
Also in the banking sector, 9,885 HSBC shares changed hands at the €1.80 level.
Simonds Farsons Cisk and Malita Investments also closed unchanged at the €6 and 88c1 levels respectively on low volumes.
On the bond market, the RF MGS Index retreated slightly to 1,136.025 points as the 10-year German Bund yield marginally increased to the 0.56 per cent level this morning.
Nonetheless, this upturn was short-lived as the benchmark Bund eased to below the 0.54 per cent level later on after data was published confirming that prices dropped by 0.1 per cent in September across the eurozone.
This data reinforced comments made yesterday by Austria’s central bank chief that the European Central Bank needs to introduce additional monetary stimulus measures in order to avert deflationary pressures.
Following the recent Malta Government Stock issues, the two institutional tranches were listed yesterday but failed to trade today. The indicative bid prices of the Central Bank of Malta for both issues were higher than the cut-off prices and the weighted-average accepted bids in this week’s auction.
In fact, the bid price for the two per cent MGS 2020 issue stood at 106.7 per cent (compared to a cut-off price of 106.25 per cent) whilst that for the 2.3 per cent MGS 2029 stood at 104.01 per cent (compared to a cut-off price of 102.61 per cent). The Treasury and the Malta Stock Exchange have not yet indicated when the retail tranches will be listed.
On Wednesday, Hili Properties announced its allocation policy with respect to its recent €37 million 4.5 per cent 2025 unsecured bond offering. The issue was heavily oversubscribed and the company received a total amount of €227.8 million. Hili Ventures Group Bondholders will be allotted a minimum of €4,000 and 1.153 per cent of the remaining balance rounded up to the nearest €100.
Moreover, applications from the public will be allotted a minimum of €2,000 with an additional 1.964 per cent of the remaining balance rounded up to the nearest €100.
Refunds will take place by Wednesday and trading is expected to commence on Thursday.