High volumes transacted in GO shares

High volumes of 166,500 shares traded in GO plc across ten trades during this morning’s session at the €0.85 level. Further offers remain unsatisfied at the last closing price as investors await GO’s decision on whether to participate (through its joint-venture Forgendo) in Forthnet’s upcoming €30 million rights issue. GO’s Board of Directors are expected to hold a meeting in this respect by the end of September.

FIMBank plc’s equity also closed the day unchanged at the US$0.80 level on a single trade of 23,000 shares as shareholders await further developments with respect to the potential takeover by Burgan Bank.

Similarly, no change was registered in the share price of Bank of Valletta plc as 3,000 shares changed hands at the €2.29 level. Meanwhile, the share price of HSBC Bank Malta plc eased 0.3% lower to €2.73 on volumes of 2,380 shares with fresh support entering the market at this level. Lombard Bank Malta plc renewed its downward trend as the share price slid a further 0.8% to yet another 7-year low of €1.93 on a single deal of 5,000 shares.

On the other hand, MIDI plc reversed most of last week’s 13.8% drop with a 12% increase during this morning’s session to regain the €0.28 level on a small trade of 500 shares. MIDI recently announced that it expects to be in a loss-making position for the financial year ending 31 December 2012 due to the low stock of apartments available for sale.

On the bond market, the Rizzo Farrugia MGS Index dipped 0.1% lower to 995.417 points as Eurozone yields remained above the 1.50% level. German bund yields were supported ahead of tomorrow’s key ruling by Germany’s Constitutional Court on whether the country can legally participate in Europe’s permanent bailout fund which is necessary for the European Central Bank (ECB) to activate its bond buying programme announced last week. Benchmark yields in Europe also moved higher at the beginning of this week on heightened worries over Greece as the ailing country failed to obtain approval on its proposed €12 billion austerity package needed to obtain the next tranche of bailout funds. Moreover, markets are also concerned by the delayed request for a bailout by Spain after the Spanish Prime Minister stated that he is uncertain about the conditions expected to be attached to such a bailout.