MSE Index extends positive trend

MSE Trading Report for week ending March 4, 2016

The MSE Index appreciated by a further 0.5 per cent, closing the week at 4,551.397 points. Activity was spread across 19 equities of which nine gained ground, seven fell and three closed unchanged as turnover amounted to €1.8m.

Malita Investments plc (Malita) shares headed the list of gainers having appreciated by €0.055 or 5.9 per cent over a sole transaction of 10,000 shares, closing at €0.985. Malita announced that the directors of the company approved the audited financial statements for the financial year ended December 31, 2015 to be submitted for approval of the shareholders at the Annual General Meeting (AGM) scheduled on April 26, 2016.

The company registered a profit before tax of €16.9m, compared to €20.9m registered in 2014. Revenue for the period amounted to €6.9m, an increase of 2.7 per cent from 2014. Earnings per share increased to €0.1119.

The Board further resolved to recommend the payment of a final gross dividend of €3,258,377 or €0.022 per share – resulting in a net dividend of €2,117,945 or €0.0143 per share to all shareholders on the register as at close of business on March 24, 2016. The net dividend will be paid on April 29, 2016.

In the banking sector, Bank of Valletta plc was the only positive performer having advanced by 0.9 per cent as 49 trades of 195,617 shares were executed, closing at €2.25. Conversely, HSBC Bank Malta plc shares eased 0.6 per cent to €1.63 as 28 trades of 55,566 shares were struck.

FIMBank plc shares registered a 3.1 per cent decline as 148,086 shares changed ownership, closing at $0.62. Meanwhile, Lombard Bank Malta plc shares closed unchanged at €2.20 as six deals of 16,003 shares were struck.

Mapfre Middlesea plc shares decreased by 0.8 per cent over 23 transactions of 75,432 shares, to close at €2.55. The company announced that the Board of Directors of the company approved the audited financial statements for the financial year ended December 31, 2015 for approval of the shareholders at the forthcoming AGM scheduled for April 22, 2016.

The group registered a profit before tax of €17.8m, compared to €17.3m registered in 2014. Total income from insurance activities amounted to €17.9m – a 20.2 per cent increase over 2014.

The Board further resolved to recommend the payment of a final gross dividend of €0.05605 per share (2014 – €0.05127). The final dividend will be paid on May 22, 2016 to all shareholders on the company’s register as at April 29, 2016.

In the I.T. sector, RS2 Software plc shares sustained their on-going winning streak, having advanced by 3.9 per cent as 42 trades of 91,835 shares were negotiated. The equity oscillated between an all-time high of €3.79 and a low of €3.65, to ultimately close at €3.788.

6pm Holdings plc shares slipped by 1.3 per cent over two deals of 6,365 shares, closing at £0.75.

Loqus Holdings plcannounced that the board of directors approved the half-yearly report of the company for the six months ended December 31, 2015. The group registered a profit before tax of €85,255, compared to a €117,556 loss registered in the corresponding period in 2014. Revenue for the period amounted to €2.1m, an increase of 15.2 per cent from 2014. The equity was not active this week.

On a positive note, MaltaPost plc shares rallied by two per cent, to close at a record high of €1.999. The postal service operator’s shares were active on seven transactions of 16,760 shares.

GO plc shares registered a 1.2 per cent gain over 21 trades of 52,125 shares, closing €0.04 higher at €3.34. Likewise, Malta Properties Company plc shares rose by 1.8 per cent as 17 deals of 121,616 shares were negotiated, to close at €0.58.

Meanwhile, the share price of Simonds Farsons Cisk plc strengthened by 3.3 per cent as 2,000 shares changed hands over a sole transaction, closing €0.20 higher at €6.20. Similarly, Santumas Shareholdings plc advanced by €0.08 or 3.6 per cent across four deals of 6,255 shares, to close at €2.30.

Grand Harbour Marina plc shares dropped by €0.04 or 3.9 per cent as a single transaction of 300 shares was negotiated, closing at €0.99. Also on a negative note, International Hotel Investments plc shares declined by 0.8 per cent over four trades of 15,900 shares, to close at €0.714.

Tigne Mall plc shares edged one per cent higher as four trades of 16,484 shares were executed, closing at €0.99. On the other hand, Medserv plc shares decreased by a marginal 0.3 per cent over 13 transactions of 78,278 shares, to close at €1.645.

Malta International Airport plc shares closed the week unchanged at €4.50 -the local airport operator’s shares witnessed a total of 26 trades of 33,630 shares. Likewise, MIDI plc shares closed unchanged at €0.36 as eight deals of 100,600 shares were struck.

On Tuesday, GlobalCapital plc announced that it has submitted an application to the Listing Authority requesting the admissibility to listing of 16,792,452 new ordinary shares of a nominal value of €0.291172 each which will be available for subscription by those shareholders on the register at the Central Securities Depository of the MSE on March 4, 2016.

The offer is expected to be open from March 16 till March 30, 2016 in accordance with the ratio of 1.27 new ordinary shares for every one existing ordinary share (Rights Issue).

Any lapsed rights from the Rights Issue will be offered by virtue of an intermediaries offer if not taken by eligible shareholders in the exercise of their pre-emption rights. The Rights Issue will be conditional upon a minimum of 10m new ordinary shares being subscribed for. The equity was not active this week.

In the corporate bond market turnover totalled €728,927 spread across 25 issues of which nine declined, eight advanced and another eight closed unchanged. The 4.5% Izola Bank plc € Unsecured 2025 was the best performer having advanced by 4.3 per cent, to close at €110, while the 5% Tumas Invesments plc Unsecured € 2024 headed the list of fallers having declined by 2.7 per cent, closing at €107.01.

In the sovereign debt market 24 issues were active of which 18 advanced, while six declined. Total turnover amounted to €7.4m. The 4.8% MGS 2016 (II) was the most liquid issue having witnessed a turnover of €2.1m.

The Treasury announced the allotment policy for applications received from members of the public regarding the recent issue of Malta Government Stocks (MGSs). Applications for the 1.5% MGS 2022 (IV) will be accepted in full, while applications received for the 2.5% MGS 2036 (I) will be allotted up to €90,000 in full. Applications in excess of €90,000 in nominal terms, shall receive a minimum of €90,000 plus an additional 53 per cent of the remaining unallocated balance per applicant rounded up to the nearest €100. Interest on these MGSs commenced accruing from February 29, 2016.