Last Tuesday, Finance Minister Edward Scicluna announced that the ‘62+ Government Savings Bonds’ will be launched on September 4. The bond will have a maturity date of five years and carry a three per cent coupon, with interest paid every six months. Investors can apply for a minimum of €500 up to a maximum of €10,000. More information will be announced in the near future.

In the sovereign debt market, 25 issues were active, of which 20 appreciated, four declined and one remained unchanged as turnover totalled to €9.1 million, up from €7.2m traded in the previous week. The 2.1 per cent MGS 2039 (I) was the most liquid issue witnessing a turnover of €3.3 million, to close 0.7 per cent higher at €99.05.

Negative sentiment prevailed last week on the Malta Stock Exchange (MSE). Out of 15 active equities, seven fell, five gained ground and three closed unchanged. The MSE index closed 1.272 per cent lower at 4,652.407 points and saw a turnover of €2.16 million.

Last Monday, MSE launched its new Equity Total Return Index, which will include the dividend payments distributed by listed companies. The new index closed the week at 8,917.40 points. As of next week this new index will start to be quoted in this column for comparison purposes.

PG plc shares rose by €0.059, or 4.4 per cent, as 6,419 shares were traded in five deals to close at a record high of €1.399. Last Friday, the company announced that the board of directors will be meeting on Thursday to consider and approve the audited financial results for the year ended April 30.

Last Monday, HSBC Bank Malta plc announced its interim results for the six months ended June 30. The bank registered a pre-tax profit of €25.9 million, compared to a profit of €41.3m in the comparable period of 2016. On an adjusted basis, after excluding the €10.8 million investment gain on the sale of Visa Europe last year, profit was down by 15 per cent. Net interest income for the period under review amounted to €60.3 million – down by 5.6 per cent from 2016. However, all three main business lines – retail banking and wealth management, commercial banking and global markets – continued to be profitable during the six-month period under review. Earnings per share decreased from €0.075 to €0.047. The bank announced that a net interim dividend of €0.03 net of tax per share will be paid on September 11 to shareholders on the bank’s register as at Thursday. This is in line with the current dividend pay-out ratio of 65 per cent.

During the week, HSBC shares decreased by €0.062, or three per cent, as 28 deals of 148,863 shares were struck, closing at a seven-month low of €2.00.

Likewise, Bank of Valletta plc (BOV) shares declined by 3.4 per cent after 72 deals of 204,121 shares. The banking equity closed €0.072 lower at €2.078 – an eight-month low – after recovering from a weekly low of €2.04.

Also from the financial sector, Global Capital plc shares registered the highest loss, stumbling by 11.5 per cent after the highest turnover last week as eight deals of 1.5 million shares were executed. The company reported that Christopher J. Pace, the founder shareholder who held 5.04 per cent of the company’s voting rights had disposed of all his shares in the company. The equity closed €0.039 lower at €0.301.

Malta International Airport plc (MIA) shares advanced by a further 0.6 per cent after 16 transactions of 33,086 shares, to close at a five-month high of €4.225, following positive results announced by the company the previous week.

Grand Harbour Marina plc (GHM) shares headed the list of gainers last week, climbing by €0.074, or nine per cent, to close at €0.894. The equity was active in a sole deal of a mere 700 shares.

Telecommunications provider GO plc managed to fully recoup the previous week’s loss after increasing by 0.3 per cent after 35 deals of 135,775 shares, to close at €3.60. Last Friday, GO’s board of directors approved the group interim unaudited financial statements for the six month period ended June 30.

The GO group reported im­proved results for the six-month period ended June 30 with growth in revenue and profitability as well as continued robust cash generation from operations. During the period under review revenues in­creased by €4.3 million to €81.0m (2016: €76.7m). This led to an improvement of €2.7 million (9.0 per cent) in earnings before interest, tax, depreciation and amortisation, which amounted to €32.6 million (2016: €29.9m) and an operating profit of €14.6m (2016: €12.3m). No dividend was declared.

RS2 Software plc shares fell by €0.055, or three per cent, after 26 deals of 130,094 shares, closing at €1.79 – a one-month low. On a similar note, Maltapost plc shares edged 0.9 per cent lower as three deals of 3,898 shares were negotiated, to close at €2.00.

In the property management sector, Malita Investments plc shed 3.3 per cent of its share price as 50,000 shares changed hands in two transactions, closing at €0.74. Likewise, Midi plc shares declined by 3.1 per cent after five deals of 28,000 shares, to close at €0.31.

Malta Properties Company plc shares rose by one per cent as 12 deals of 73,421 shares were exchanged, closing at €0.515. Last Tuesday, MPC announced that its board of directors will meet tomorrow to discuss the group’s interim unaudited financial statements for the six-month period ended June.

Mapfre Middlesea plc shares traded flat at €1.90 after a single deal of 3,000 shares. Similarly, International Hotel Investments plc (IHI) shares closed the week unchanged at €0.60. The hotelier’s equity was active in seven deals of 14,414 shares.

In the corporate bond market 30 issues were active, of which 13 advanced, eight fell and nine closed unchanged as turnover amounted to €1.85 million.

Following regulatory approval, last Monday, Simonds Farsons Cisk plc (SFC) announced it will be issuing €20 million 3.5 per cent SFC Unsecured Bonds 2027 and re­deeming the €15m six per cent SFC bonds 2017-2020. Preference will be given to SFC bond holders.

This article, which was compiled by Jesmond Mizzi Financial Advisors Ltd, does not intend to give investment advice and the contents therein should not be construed as such. The company is licensed to conduct investment services by the MFSA and is a member of the Malta Stock Exchange and a member of the Atlas Group. The directors or related parties, including the company, and their clients are likely to have an interest in securities mentioned in this article. For further information contact Jesmond Mizzi Financial Advisors Ltd at 67, Level 3, South Street, Valletta, or on Tel. 2122 4410, or e-mail info@jesmondmizzi.com.

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