Following three consecutive weeks of gains, the positive run experienced by Malta Stock Exchange index came to an end as the index recorded a loss of 0.5 per cent to close the week at 3,106.588 points. This week was characterised by the bonus share issue of Bank of Valletta plc as eligible shareholders received their entitlement and, as a result, the share price fell to reflect the issue of the share. Meanwhile, HSBC Bank Malta plc and Go plc were a drag for the index’s negative close.
Activity during the week witnessed the trading of nine equities in which losers outperformed gainers, as four lurched downwards, two advanced, while three closed the week flat. Looking at the numerical activity in the week, turnover decreased to €333,740 traded over 184,325 shares dealt over 100 transactions.
Meanwhile, in the Government Stocks Market investors’ confidence shifted towards the positive side, as from the 18 active issues 11 appreciated, while seven edged lower. Total trading value in the week increased further to just over €3.5 million of which the majority of activity was once again focused on the long-dated 5.2% MGS 2031 issue. In the Corporate Bonds market, running yields were mixed, as from the 22 active stocks nine closed higher, six lost ground, while five closed unchanged. The 4% AX Investments plc 2013 headed the list of gainers as it gained a sharp 4.1 per cent.
In the equity market, HSBC Malta plc was the main loser among the banking equities, as the bank headed southwards by 1.2 per cent or €0.03. On Tuesday, the equity commenced trading on a negative note as it posted a loss of 0.8 per cent which it than recuperated in the following session. Yesterday, the equity lost 1.2 per cent thus closing the week at the €2.57. Trading volume this week was unusually low as 7,750 shares were traded across seven deals.
On the other hand, Bank of Valletta plc registered a minimal loss of 0.13 per cent, after adjusting for the bonus issue. The equity kicked off the opening session minimally lower, with trading volume reaching over 48,000 shares as investors flocked in to get entitlement to the bonus share issue. Given that Monday was the last trading day for the bonus share entitlement, on Tuesday the bank’s share price adjusted to reflect the bonus share issue of one share for every eight held. Following the price adjustment, the equity’s price barely changed as it closed the week at €2.29. Once again, the bank had the lion’s share of this week’s overall trading volume as a total of 95,855 shares worth €232,440 were executed. Meanwhile, the other active financial equity, Lombard Bank plc, closed flat at €2.60 over two sessions of 1,610 shares.
From the telecommunications sector, Go plc slumped by 5.8 per cent or €0.055 to close the week at €0.895, thus reaching an all time low. The equity was active in three sessions in which Wednesday proved to be a sour session as the share price tumbled by 6.3 per cent. In the following session, the equity closed flat, while it then snapped back a minimal gain of 0.6 per cent in the last session of the week. Yesterday, the company announced that the board of directors instructed Forgendo Limited to vote against the increase of 51,810,441 new common registered shares put forward by Forthnet. Later in the afternoon through another announcement, the company stated that 56.96 per cent voted against the items on the agenda, while 43.97 per cent voted in favour and 0.07 per cent abstained.
From the postal industry, Maltapost plc depreciated by one per cent on Thursday to close the week at €0.99. A total of 11,389 shares changed ownership, which was traded over two sessions.
On the contrary, Malta International Airport plc extended their recent positive run by registering an increase of 1.2 per cent. The airport operator was active in two sessions were it traded flat in one, while it posted the said gain in the other to end the week at €1.72.
Following months of inactivity 6pm Holdings plc returned to trading with a boom. Its share price soared by 25 per cent. The I.T operator was active on Friday as a total of 21,000 shares changed ownership over four trades to close the week at £0.40.
Meanwhile, both Medserv plc and Grand Harbour Marina plc maintained their previous closing prices, as the former closed at €3.95 over three trades worth €5,174, while the latter kept the €1.95 price level over a mere of 150 shares.
This article, which was compiled by Atlas JMFS Investment Services Limited, does not intend to give investment advice and the contents therein should not be construed as such. Atlas JMFS is licensed to conduct investment services by the MFSA and is a member firm of the Malta Stock Exchange.
The directors or related parties, including the company, and their clients are likely to have an interest in securities mentioned in this article.
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