BOV share price at 6-week high of €2.23

Following yesterday’s 0.9% increase, the share price of Bank of Valletta plc edged a further 2.3% higher during this morning’s session to a new 6-week high of €2.23 on increased volumes totalling over 31,600 shares.

GO plc also closed the day in positive territory for the second successive session with a further 2.6% rise to regain the €0.79 level across eight trades totalling 24,890 shares. Last week, the quad-play telecom operator published its 2011 full-year results revealing a record loss of just under €51 million as the profits from local operations were again offset by the significant share of losses incurred in relation to the Group’s indirect investment in Forthnet. For the first time since the privatisation way back in 1998, GO’s Directors did not recommend a dividend. The Directors explained that at this stage it is important for the GO Group to replenish its reserves after these have been depleted by the various impairments on GO’s indirect investment in Forthnet in recent years.

On the other hand, the equity of HSBC Bank Malta plc slumped 2% lower to the €2.50 level on low volumes of 8,000 shares. The Bank is scheduled to hold its Annual General Meeting on 18 April.

The only other active equity, Malta International Airport plc eased minimally lower to €1.678 on a small trade of 300 shares ahead of the 2011 full-year results publication scheduled for tomorrow.

On the bond market, the Rizzo Farrugia MGS Index edged lower for the thirteen consecutive session with a further 0.1% drop to 981.583 points reflecting the sustained rise in yields. However, this afternoon, eurozone benchmark yields dropped back to 2.02% level as demand for German paper increased on the back of the recent yield hike. Moreover, the UK announced that it will be continuing with its austerity plans in a bid to reduce its public debt.

Yesterday, Bank of Valletta plc published its final terms with respect to the €40 million notes issue at a coupon of 4.25%. Applications forms are available and must be lodged by Monday 2 April.