BOV announced this afternoon that it generated a substantial increase in pre-tax profits to €47.5 million during the first six months of its financial year compared to €6.3 million registered in the same period last year.
BOV’s share of loss from its 31.08% shareholding in Middlesea amounted to €3.6 million which includes the impact on Middlesea’s results published on Tuesday of the write-off of its entire investment in Progress Assicurazioni SpA with a decision that was taken to wind up the operations of the Italian company.
Middlesea Insurance announced a record loss of €54.4 million for the full-year to 31 December 2009. BOV declared a final gross dividend of €0.075 (net: €0.049) per share to shareholders as at close of trading on Friday 7 May 2010.
The Borza of Malta informed the market of an off-exchanged transaction of 1.2 million Lombard shares at a price of €2.95 for a total consideration of €3.54 million was placed today.
It was also revealed yesterday that Lombard’s share capital increased by 479,111 shares after the scrip dividend issue.
On April 1, Lombard Bank had recommended the payment of a gross dividend of €0.10 per share approved at the recent Annual General Meeting held on April 22. Shareholders had the option of receiving the dividend either in cash or in new shares at an attribution price of €3.04. The take-up of 479,111 shares represents an acceptance rate of 62.9%.
Overview of the week
The MSE Share Index surpassed the 3,500-point level as it closed in positive territory for the first time in nine weeks.
The local bourse edged 0.4% higher to close the week at 3,505.93 points despite trading activity remaining extremely low with just €0.5 million worth of trades effected this week.
The index advances thanks to the two index-heavyweights BOV and IHI which both closed the week higher. BOV’s equity reversed yesterday’s declines after advancing by 2% this morning to close the week at €3.365 whilst IHI edged 0.1% higher to €0.802 after touching its 2010 high of €0.85 mid-session.
HSBC, however, remained unchanged at €3.05 over higher volumes totalling 55,215 shares. Grand Harbour Marina was this week’s top performing equity as the share price raced up by 5.9% to a new 2010 high of €1.98 this morning.
MaltaPost also continued to advance as the equity gained a further 3.4% to close the week at €0.848 – just 0.2% below its 2010 high of €0.85. Meanwhile, Medserv was the week’s worst performer as a single 2,000-share trade this morning dragged the share price 1.4% lower to €4.24.
On the local bond market, Malta Government Stock prices continued to climb as eurozone benchmark yields dropped below the 3% level following the downgrades of the three European countries.
Meanwhile investors await the new local corporate bond issues by Izola Bank, Mediterranean Investment Holdings, Simonds Farsons Cisk, Tumas Investments and Eden Finance.
On the secondary market, the 6.8% Premier Capital plc bonds rose 40 basis points to a new high of 102%
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