The MSE Equity Total Return Index managed to fully erase the previous week’s 0.232 per cent loss having advanced by 0.988 per cent, to close at 8,568.919 points. Activity was spread across 16 equities of which eight declined and six appreciated in value, as turnover increased to €1.3 million from €769,755.
Bank of Valletta plc shares rallied by 7.4 per cent as 76 deals of 440,434 shares were struck, to close €0.13 higher at a three-week high of €1.88. This followed the previous week’s announcement that the rights issue had been over-subscribed by approximately €47 million. Shareholders are expected to be informed of the basis of acceptance for any additional shares applied for.
Lombard Bank Malta plc (Lombard) shares oscillated between a weekly low of €2.21 and a high of €2.30, at which it closed. The banking equity rose by 4 per cent and witnessed seven trades of 13,954 shares. Last Thursday, Lombard announced that the Board is scheduled to meet on March 8, 2018 to approve the group’s and the bank’s final audited accounts for the financial year ended December 31, 2017 and to consider the declaration of a final dividend to be recommended to the bank’s Annual General Meeting (AGM).
On the other hand, HSBC Bank Malta plc shares fell by €0.039 or 2.2 per cent across two deals of 3,834 shares, closing at €1.76. Meanwhile, FIMBank plc shares closed unchanged at $0.61, despite having reached a weekly high of $0.70. The trade finance bank’s shares were active on 10 transactions of 56,112 shares.
PG plc shares slipped by 1.7 per cent as 22,000 shares changed ownership across five trades, to close at €1.425. Last Friday, the Board of the retail and supermarkets owner announced that the Board of the Planning Authority unanimously approved a permit for the building of additional floors at the Zara and Zara Home store at the Alhambra Complex in Sliema. This development will result in a new store, spread over seven floors which will house clothing and household accessories. The project is expected to commence in January 2018 and is scheduled to be completed by the end of the year. The development will necessitate the closure of the existing store for a brief period in Autumn 2018. The design has been entrusted to the architectural team of lnditex Group in Spain.
The Board has also announced that it will open another Zara Home store at the PAVI Shopping Complex in Qormi. This store, which will be around 500 square metres, is expected to open for the public in April 2018.
The insurance and investments services provider, Mapfre Middlesea plc partially reversed the previous week’s share price increase of 1.1 per cent, having declined by 1 per cent as seven trades of 8,952 shares were executed, closing at €1.782.
Malta International Airport plc shares registered the third consecutive weekly increase having advanced by 0.4 per cent as 6,042 shares changed hands over four deals, to close at €4.679.
The telecommunications provider GO plc recorded a 0.8 per cent decline in its share price, to close €0.03 lower at €3.55. The equity was negotiated over eight transactions of 9,700 shares.
Simonds Farsons Cisk plc shares added to the previous week’s 1.6 per cent increase, having climbed by 1.1 per cent across three trades of 1,550 shares.
International Hotel Investments plc shares rose by 1.1 per cent as five trades of 56,755 shares were executed, closing at €0.627.
The oil and gas logistics services operator Medserv plc’s shares were active on 47 deals of 73,000 shares. The equity closed 1.4 per cent higher at €1.136.
RS2 Software plc shares decreased by 1.3 per cent across 17 transactions of 76,401 shares, closing at €1.50.
In the property management sector, MIDI plc shares partially erased the previous week’s 1.5 per cent increase, having declined by 0.9 per cent over two deals of 6,000 shares, closing at €0.347.
In the same sector, Malita Investments plc shares edged 0.1 per cent as five trades of 30,000 shares were executed, to close at €0.75. Meanwhile, Plaza Centres plc shares traded flat at €1.02 on one transaction of 4,400 shares.
Malta Properties Company plc shares stayed faithful to their ongoing losing streak, having registered a decline for the fifth consecutive week. The equity slid by 5.5 per cent as eight trades of 66,430 shares were struck, to close at €0.43.
On Monday, the Board of MaltaPost plc approved the audited financial statements for the financial year ended September 30, 2017 and resolved that these statements be submitted for approval at the forthcoming AGM to be held on February 9, 2018. The Board further resolved to recommend for the approval of the AGM the payment of a final gross dividend of €0.0615 (net: €0.04) per nominal €0.25 share. The dividend, if approved at the AGM, will be paid on March 9, 2018 to shareholders on the company’s share register as at close of business on January 9, 2018.
The group ended its financial year on September 30, 2017 with a profit before tax of €3.1 million, a 4.1 per cent increase over the previous year (€2.9 million). Foreign direct mail costs increased in line with revenue and together with increases in staff costs resulted in higher expenditure of €35.5 million (2016: €25.1 million). The resulting increase in expenditure, coupled with an increase in tax expense, effected the earning per share year on year, decreasing from €0.06 in 2016 to €0.05 in 2017. The equity was not active this week.
In the corporate bond market 36 issues were active of which 19 rose and six declined as turnover totalled €912,206. The 6% AX Investments Plc € 2024 was the best performer having advanced by 2.5 per cent, to close at €112.70, while the 4% IHI plc Unsecured €2026 registered the highest loss, having slipped by 0.7 per cent, closing at €101.50.
In the sovereign debt market turnover amounted to €10.4 million spread across 23 issues of which 12 increased and nine fell. The 7.8% MGS 2018 was the most active issue, having witnessed a turnover of €5.8 million, to close 0.2 per cent lower at €104.55.
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: 21224410, or email info@jesmondmizzi.com.
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