The preference among investors for fixed-interest securities was evident during this morning’s trading session of the Malta Stock Exchange as over €1.6 million worth of corporate bonds and Malta Government Stocks traded. A total of €0.64 million in Malta Government Stocks changed hands today with prices generally moving lower in line with the bid prices of the Central Bank of Malta. However the price of the 5.25% MGS 2030 continued to reach new highs and advanced by a further 12 bp to 103.52%, a substantial premium from the recent primary market offer price of 99.50%.
Meanwhile, the two most active corporate bonds were the 8% Bank of Valletta plc 2010 denominated in US Dollars and the 7% PAVI Shopping Complex plc 2017. Over USD560,000 (nominal) of the BOV bonds traded today with the price closing marginally lower at 101% while almost €200,000 (nominal) PAVI bonds traded at the par level representing a price drop of 100 basis points. Recently PAVI Shopping Complex plc announced that it purchased €582,343 worth of bonds on the market.
Yesterday Tumas Investments plc announced its allocation policy with respect to its recent bond issue. The Company said that it received a total of 4,436 applications worth just under €43 million. Applications submitted by preferred applicants will be met in full. Meanwhile, in the case of applications from the General Public, due to the heavy over-subscription the Issuer stated that it will satisfy the first €4,000 plus 5.312% of any balance. The new Tumas bonds will commence trading on Friday 16 July.
Also on the primary market, preferred applicants of the 7.15% Mediterranean Investments Holdings plc 2015 – 2017 have until next Thursday 8 July to submit their application. The pre-placement will be held on 9 July ahead of the General Public Offering which opens on 12 July. The bonds are being offered in three denominations – euro, Sterling and US Dollars. Further details and copy of the prospectus is available at www.rizzofarrugia.com
Meanwhile on the equity market, only €16,260 worth of shares traded across five equities. Bank of Valletta plc and Middlesea Insurance plc both traded higher with the latter closing at a new 2010 high of €1.12. On the other hand GO plc, Malta International Airport plc and MaltaPost plc declined. GO touched an 8-month low of €1.801 before recovering to €1.85, representing a 4.2% drop from the previous close.
www.rizzofarrugia.com