Daily Market Highlights (10.08.2018)

  • The MSE Equity Price Index slipped by a further 0.65% to an over one-week low of 4,341.987 points, largely driven by the significant decline in the share price of IHI which, coupled with the drops in MIA and BOV, outweighed the gains in five other equities. During the past five days, the local equity index registered its worst weekly performance in two months as it shed 1.43%. Download a copy of today’s Equity Market Summary.
  • The RF MGS Index added a further 0.15% to 1,096.956 points as bond yields in the euro area moved markedly lower today amid heightened diplomatic and economic tensions between the US on the one side and four other countries – namely Iran, China, Russia and Turkey. Over the past five days, the RF MGS Index rebounded by 0.47% from last Friday’s near four-year low, driven also by gains in excess of 100 basis points in the prices of Malta Government Stocks with maturities of fifteen years and over.
  • GO plc published its interim financial results showing an increase of almost 10% in operating profits to €16 million – the highest in fourteen years. In their commentary, the Directors explained that GO managed to register an improved level of performance despite the various challenges pertaining to the telecoms markets in both Malta and Cyprus. This was possible as the company continues to focus on improving the level of experience delivered to its customers through product innovation and investments whilst also controlling costs. During today’s trading session, the equity traded unchanged at the €3.38 level on two deals totalling 9,800 shares.
  • Main Street Complex plc and Medserv plc also ended flat at €0.665 and €1.11 respectively albeit on shallow volumes. Today, Main Street Complex announced that its Board of Directors is scheduled to meet on Friday 24 August to consider and approve the interim financial statements for the six-month period ended 30 June 2018. On the other hand, Medserv is expected to publish its interim financial statements on 27 August.
  • International Hotel Investments plc tumbled 8.4% to an over three-month low of €0.60 across 25,607 shares. The company still has to announce the date of the publication of its interim financial statements.
  • Malta International Airport plc retreated by 0.9% back to the €5.65 level on two deals totalling 2,798 shares. Shareholders as at 20 August are entitled to receive a net interim dividend of €0.03 per share.
  • Bank of Valletta plc shed a further a 0.6% to the €1.54 level on heightened activity totalling 100,485 shares.
  • In contrast, HSBC Bank Malta plc added 0.5% to regain the €1.89 level after failing to hold on to a five-month high of €1.90. A total of 123,085 shares changed hands today. Shareholders as at the close of trading on 14 August will be entitled to a net interim dividend of €0.026 per share.
  • Also among the large caps, RS2 Software plc rebounded by 3.5% to recapture the €1.19 level across 7,103 shares. Today, the company announced that its Board of Directors is scheduled to meet on Tuesday 28 August to consider and approve the interim financial statements for the six-month period ended 30 June 2018.
  • Three property-related companies performed positively today, namely Malta Properties Company plc, Tigne’ Mall plc and MIDI plc. MPC rose 2% to a one-month high of €0.52 on four deals totalling 22,289 shares. On Monday, MPC announced the conclusion of the sale of the Sliema Old Exchange. MPC sold this property for €5 million which the company will be utilising to fund its various development projects and/or seek acquisition opportunities.
  • Tigne’ Mall plc added 2.1% to the €0.97 level across 17,000 shares whilst MIDI plc surged 2.9% to a new all-time high of €0.494 on low volumes of 20,000 shares. Shareholders of Tigne’ Mall as at the close of trading on Tuesday 14 August will be entitled to a net interim dividend of €0.0128 per share. Yesterday, MIDI plc announced that its Board of Directors is scheduled to meet on Thursday 30 August to consider and approve the interim financial statements for the six-month period ended 30 June 2018.
  • Lombard Bank Malta plc announced that it received notice from the National Development and Social Fund (“NDSF”) that all the conditions contained in the Share Purchase Agreement between the NDSF and Cyprus Popular Bank Public Co. Ltd. (“CPB”) have been satisfied. As a result, the NDSF today acquired all the shares that CPB had in Lombard representing 49.01% of the total issued share capital of Lombard. The NDSF reiterated that it does not intend to increase its holdings in the Bank; that it shall not act in concert with any other shareholders; that it will seek to reduce its shareholding in the Bank in an orderly manner, at the right market conditions and by agreement with the regulatory authorities; that it has no intention of exerting any influence on the operations of the Bank; and that this acquisition will not result in a change in control of the Bank.