The Malta Stock Exchange index ended the week 2.23 per cent higher to close at 4,435.974 points mainly attributable to the gains recorded by Medserv plc, International Hotel Investments and Maltapost plc shares.
Activity was spread over 16 equities of which 10 increased in value, three lost ground while another three closed unchanged. Total turnover totalled €1.4 million – an increase of 13.9 per cent over the previous week.
The most significant change occurred in the share price of Medserv plc as it soared by 22.9 per cent over 23 transactions of 51,137 shares to close at an all-time high of €2.15. This gain was registered after adjusting its share price to reflect the bonus issue of four shares for every five already held. The company also declared an interim dividend of €0.08 per share (amounting to €4 million) which will be paid to all shareholders on the company’s register as at close of business on October 30, 2015.
MaltaPost plc also registered notable gains as its share price rallied by 9.3 per cent to close at an all-time high of €1.99 – albeit on low volume as three deals of 1,595 shares were executed.
One other equity to close the week at an all-time high was RS2 Software plc as its share price drifted two per cent higher over six trades of 12,602 shares to close at €2.60.
Elsewhere, International Hotel Investments plc shares closed at €0.846 as 21 transactions of 60,984 shares pushed its price up by 8.5 per cent.
In the financial services sector, Bank of Valletta plc shares retracted from last week’s 3.3 per cent gain having lost 0.8 per cent over the highest turnover for the week of €610,000 or 43 per cent of total turnover to close at €2.42.
On the other hand, HSBC Bank Malta plc recovered all of last week’s 2.7 per cent decline as 20 deals of 59,443 shares pushed the price back to the €1.85 level.
Similarly, Mapfre Middlesea plc shares reversed last week’s losses having advanced by 3.8 per cent to close at €2.20 on a single deal of 796 shares.
FIMBank plc shares also registered a positive performance as six transactions of 34,390 shares pushed the price up by 4.7 per cent to close at $0.45. In its interim directors’ statement the company announced that, during the third quarter, the bank continued with its consolidation strategy and has adopted a prudent and practical risk approach to maintain a robust transactional structuring. Diversification in funding and a new core factoring strategy are being adopted as the company aims for sustainable profitability and growth, thus providing means to react to any changes in the financial markets. The group reported a positive net income for the third quarter and is now focusing on solid growth of its core operating businesses across the four lines: Banking, Forfaiting, Factoring and Treasury.
The other banking equity, Lombard Bank Malta plc closed at €2.30 as five deals of 6,791 shares pushed the price up 2.2 per cent.
Elsewhere, Malta International Airport plc shares inched one per cent higher over 18 transactions of 51,767 shares to close at €3.90. On Thursday, the company announced that traffic results for the month of October witnessed the greatest monthly increase for the year – up by 10.2 per cent over October 2014. MIA reported a rise in passenger numbers from all of the airport’s top performing countries with the exception of Germany, and with the UK and Italy as its top two destinations. Cargo and mail also increased by 3.6 per cent on the month.
It was a mixed week for the property sector as Plaza Centres plc shares shed a further two per cent to last week’s one per cent loss to close at €0.97 as two deals of 50,000 shares were concluded.
On the other hand, Tigne Mall plc shares gained 0.5 per cent over two trades of 53,400 shares to close at €0.955. In its interim directors’ statement, the company announced that positive trends outlined in the condensed interim financial statements have continued throughout the third quarter, with healthy cash flows from operations and full occupancy of the mall; adding two new outlets to its brand mix, namely Calvin Klein Jeans and Boux Avenue. Moreover, profitability is up when compared to the corresponding period of the previous year and going forward, expectations remain positive.
Meanwhile, MIDI plc closed unchanged at €0.35 over a single transaction of 5,000 shares.
The other non-movers for the week were Simonds Farsons Cisk plc and Grand Harbour Marina plc having maintained their previous levels of €6.00 and €1.00 respectively on low volumes.
The worst performer for the week was GO plc as 17 deals of 48,623 shares pushed its price down three per cent to close at €3.20.
In the corporate bond market, 24 issues were active of which six headed north, eight lost in value, while 10 closed unchanged. The worst performer was the 6% Island Hotels Group Holdings plc € 2024 which declined by 4.4 per cent over two trades of 5,100 nominal to close at €108. Total turnover was down by 46 per cent to €750,000 of which more than half was recorded in the 4.5% Hili Properties plc Unsecured € 2025 which closed at €107.75.
On the sovereign debt front, all of the 19 issues active except two, drifted lower in line with their European counterparts. The 3% MGS 2040 (I) closed the week 2.5 per cent lower at €107 as 19 transactions of 144,700 nominal changed hands. The most liquid issue was the 2.3% MGS 2029 (II) FI Oct 15 r as 36 deals worth €1.8 million or 43 per cent of total turnover were executed.
This article, which was compiled by Jesmond Mizzi Financial Advisors Limited, 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 is 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 Financial Advisors Limited at 67, Level 3, South Street, Valletta, or on Tel: 2122 4410, or e-mail info@jesmondmizzi.com.