The share index dropped 0.13 per cent to 4,317.167 points as the negative performances of HSBC and MIA outweighed the gains in GO and BOV. Trading volumes jumped to a four week high mainly on increased activity in the two largest capitalised companies.
HSBC reversed almost all of the gains registered last Friday as the equity shed 2.6 per cent to the €1.80,1 level across 56,000 shares.
The other negative performer of today’s session was Malta International Airport as the share price of the airport operator shed 0.8 per cent to the €3.82,1 level on weak volumes of 2,092 shares.
On the other hand, in anticipation of the publication of the September 30 financial statement due next Friday, Bank of Valletta advanced by 1.2 per cent to the €2.39 level across heightened trading activity totalling 92,118 shares.
The bank’s directors will also be considering the declaration of a final dividend to be recommended to shareholders during the upcoming annual general meeting. Moreover, last week BOV announced that it obtained approval for a €150 million subordinated debt issuance programme. Further details will be available in due course.
Meanwhile, GO continued to recover from last week’s six per cent decline as the equity of the quad-play operator closed 1.5 per cent higher at the €3.30 level also across shallow volumes of 3,000 shares.
Following the approval of a net interim dividend ‘in kind’ of 33c13 per share, each GO shareholder as at close of trading on October 21 will be receiving one share in Malta Properties Company for every GO share held.
MPC shares are expected to be admitted to the Official List of the Malta Stock Exchange on November 23 and trading is expected to commence the following day.
Last week, GO issued its interim directors’ statement updating the market on its performance up to September.
The directors explained that the positive trends which were registered in the first half of the year continued throughout the third quarter and the group is anticipating closing the current financial year with increased profitability when compared with the corresponding period last year when pre-tax profits amounted to €20.3 million.
With regards to the investment in Greece, GO and its immediate parent, EITML, are continuing to monitor developments closely and will evaluate any potential binding offers for Forthnet accordingly.
The other active equity of the day was FIMBank. The equity of the trade finance specialist closed unchanged at the 43cUS level across two deals of 37,165 shares.
This morning, the Malta Stock Exchange confirmed the listing of an additional 16,709,956 shares International Hotel Investments following the recent bonus share issue.
On the bond market, the RF MGS Index closed virtually unchanged near a fourmonth high of 1,144.113 points as yields across the eurozone remained under pressure following last week’s dovish comments by the President of the European Central Bank Mario Draghi, who hinted about the possibility of additional monetary stimulus in order to tackle deflationary pressures.
This morning, the benchmark 10-year German Bund yield declined to 0.5 per cent from the 0.52 per cent level on Friday morning and also briefly dropped to the 0.49 per cent level.
The recently listed 2.3 per cent MGS 2029 advanced to 105.42 per cent compared to the offer price of 102.5 per cent.
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