The share index closed virtually unchanged at 4,528.666 points as the gains registered across four equities offset the declines in two other shares. Week-on-week, the Index advanced by 0.91 per cent on robust trading volumes totalling €2.44 million.
Positive sentiment towards RS2 Software continued as the equity touched a new record high of €3.65 before closing at the €3.64,5 level, representing a gain of 0.3 per cent over yesterday’s closing price. A total of 30,100 shares changed hands today. RS2 was the best performer this week with a rally of 7.2 per cent.
Bank of Valletta advanced 0.8 per cent to nearly a three week high of €2.22,9 on volumes of 43,526 shares. Last Friday, the bank announced the issuance of €50 million 3.5 per cent Tranche 2 subordinated bonds 2030 at par (100 per cent) forming part of its debt issuance programme launched in October 2015.
Midi was the best performing equity of today’s trading session as it regained the 36c level (+2.9 per cent) across 188,750 shares. The company will publish its 2015 results on March 28. The board of directors will also be considering the recommendation of a final dividend.
Also in the property segment, Malta Properties Company closed 1.8 per cent higher at the 57c level across 30,000 shares.
On the other hand, Mapfre Middlesea and Simonds Farsons Cisk shed 0.8 per cent and 4.8 per cent to €2.57 and €6 respectively on insignificant volumes. The insurance specialist will reveal its 2015 full-year results next Wednesday.
Meanwhile, four equities closed unchanged. HSBC recovered from an intra-day low of €1.60 to close at the €1.63,9 level across 33,259 shares. Last Monday, HSBC announced their 2015 financial results, which showed an improved adjusted profit before tax of €61.5 million.
The board of directors is recommending a final gross dividend of 2c6 per share 1c7 net), which together with the 5c1 gross interim dividend, results in a total gross dividend for the year of 7c7 per share 5c net – representing a 20 per cent increase compared to the 2014 adjusted dividend.
Shareholders as at close of trading on March 14 will be eligible to receive the final dividend on April 19 subject to shareholder approval at the upcoming annual general meeting to be held on April 15.
In contrast, Malta International Airport failed to hold on to an intra-day high of €4.60 as it slipped back to the €4.50 level. A total of 13,140 shares changed hands today. On Wednesday, MIA reported a 14.3 per cent growth in pre-tax profits to a new record of €29.8 million (2014: €26.1 million).
The directors recommended a final gross dividend of 10c7692 per share (2014: 12c31), representing a 12.5 per cent decrease over last year’s final dividend. The total gross dividend in respect of the 2015 financial year amounts to 15c3846 per share (2014: 16c93).
Shareholders as at the close of trading on March 30 will be eligible to receive the final dividend. This will be payable by May 19 following shareholders’ approval at the annual general meeting to be held on May 4.
Also among the large companies, GO maintained the €3.30 level across 29,627 shares. The equity trades with the entitlement to a final net dividend of 10c per share until April 7. In the meantime, the company is evaluating a number of non-binding bids from parties interested in acquiring its entire issued share capital.
Medserv also closed unchanged at the €1.65 level after recovering from a low of €1.62 across 34,000 shares. On Tuesday, the oil and gas logistics services company announced that it has now concluded the purchase of the entire issued share capital of METS UAE and METS Oman as well as the 90 per cent shareholding of METS Iraq (collectively known as the “METS Group”).
As opposed to what was stated in the previous communications to the market, the consideration price for the above transactions has been reduced to $45 million, reflecting the 10 per cent shareholding of METS Iraq that was retained by Jarrett Asset Holdings Corporation.
On the bond market, the RF MGS Index advanced to a three-week high of 1,141.344 points (+0.1 per cent) as eurozone yields remained under pressure.
The latest data concerning German inflation showed that consumer prices fell 0.2 per cent year-on-year in February – a steep drop from the 0.4 per cent rise in January and well below economists’ forecasts.
This drop is only the third month of deflation Germany has ever experienced in the last six years and the seventh in the last two decades.
Yesterday, the treasury announced that subscriptions from the public for the two new Malta Government Stocks – ie the 1.5 per cent MGS 2022 (IV) and the 2.5 per cent MGS 2036 – was in the region of €200 million.
As a result, the auction for institutional investors has been cancelled. The treasury announced that to meet the investment needs of institutional investors, it will be launching an MGS issue by auction only in the coming weeks.
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