Malta Government offers new stocks
MSE Trading Report for week ending February 14, 2014
On Friday, the Accountant General announced that it will be issuing three new Malta Government Stocks, offering an aggregate of €100 million subject to an over-allotment option of €60 million. The new issues will mature in 2019, 2024 and 2032, having a coupon of 3.2%, 3.3% and 4.45% respectively. The prices of the stocks will be announced next Thursday and the offer will be open to the public from February 24, 2014 until February 26, 2014 or earlier at the discretion of the Accountant General.
The Malta Stock Exchange (MSE) Index registered an increase for the fourth consecutive week having appreciated by a further 0.08 per cent, to close at 3,719.691 points in a four-day trading week as turnover reached €700K. Activity was spread across 18 equities, of which nine gained ground, five slipped and four closed the week unchanged. GO plc (GO) shares were the best performers for the week, while the share price of International Hotel Investments plc (IHI) headed the list of losers.
In the banking sector, Bank of Valletta plc shares were the most actively traded for the week as 53 deals of 66,829 shares were witnessed. The equity fully reversed the previous week’s losses as it advanced by 0.8 per cent, closing at €2.48. Conversely, Lombard Bank Malta plc shares stumbled by €0.05 or 2.6 per cent over nine trades of 19,452 shares, to close at its weekly low of €1.85.
FIMBank plc shares edged 2.1 per cent lower, as the banking equity was negotiated across a sole transaction of 5,000 shares, to close at $0.93. FIMBank reported that Mr Mohammed I. Marafie has resigned as Director of the bank with effect from last Tuesday.
Meanwhile, HSBC Bank Malta plc shares closed the week unchanged at €2.60, despite having reached a weekly high of €2.62. A total of 30,014 shares changed hands across 13 deals, as the market awaits the financial results for 2013 due to be reported on Monday week.
GO plc shares were the main highlight throughout the four-day trading week as it soared by a further 5.1 per cent over 23 trades of 55,753 shares, to close €0.10 higher at €2.08 – its 45-month high. On a similar note, Simonds Farsons Cisk plc added €0.05 to its share price as it rallied by 1.7 per cent over three trades of 17,868 shares, closing at a record high of €3.00.
Likewise, Malita Investments plc sharesedged 1.9 per cent higher over four transactions of 15,157 shares, to close at an all-time high of €0.55.
In the I.T. industry both RS2 Software plc and Crimsonwing plc shares rose by 1.3 per cent and 1.2 per cent respectively. The former was executed across 28 deals of 59,380 shares, to close at €2.365- an all-time high closing price – while the latter witnessed a single transaction of 2,543 shares, closing at €0.82. Crimsonwing plc reported that like-for-like revenues in the company’s third quarter ending December 2013 increased by 16 per cent to €15.56 million compared to €13.42 million in 2012. The company expects to reach total revenue of more than €20 million throughout its financial year ending March 31, 2014.
On a negative note, IHI shares sagged by 3.3 per cent over a sole trade on Tuesday of 3,214 shares, closing at €0.88, dragging the MSE lower. Meanwhile, Malta International Airport plc’s share price slid by a further 0.7 per cent as 11 deals of 12,260 shares were struck, to close at €2.175. The company announced that the board of directors will be meeting on March 4, 2014 to approve the company’s financial statements for the year ending December 31, 2013 and to consider the payment of a dividend. Likewise, Loqus Holdings plc shed 1.1 per cent of its share price as 13,259 shares changed ownership, closing at €0.09.
MaltaPost plc shares traded flat on Tuesday at €1.10 across a single trade of 1,000 shares. The postal services company announced that the overall financial performance for the financial period commencing October 1, 2013 up to February 11, 2014 remained predominately unchanged when compared to that of the corresponding period last year. Turnover registered a satisfactory increase despite having witnessed a decline in letter mail volumes. The said increase in turnover has been partially offset due to wage increases, inflationary pressures and higher cross-boarder mail delivery costs.
The other non-movers for the week were Plaza Centres plc and Tigne Mall plc sharesas both equities closed the week unchanged at €0.57 and €0.31 respectively, both trading once on low volume.
The week proved to be profitable for MIDI plc shareholdersas its share price soared by 4.4 per cent over the highest turnover by volume for the week of 183,000 shares, to close at €0.31. Similarly, Middlesea Insurance plc shares recouped by two per cent over three trades of 2,995 shares, closing at its weekly high of €1.00. Meanwhile, Medserv plc shares strengthened by 1.6 per cent over a single deal of 4,000 shares, to close at €1.30.
In the sovereign debt market turnover amounted to over €8.4 million spread across 25 issues of which twenty declined, three increased and two closed unchanged. The most liquid issue for the week was the long-dated 5.2% MGS 2031 (I) as it witnessed a turnover of €1.68 million. On the other hand, in the corporate bond market 21 issues were active, amounting to a turnover of more than €1.2 million. The recently issued 4.9% Gasan Finance 2019-2021 headed the list of losers as it fell by 2.3 per cent. Grand Harbour Marina plc purchased €259,900 of its 7% bonds due 2017-2020 throughout the week from its bondholders. These bonds will be cancelled forthwith and may not be re-issued or re-sold.