Crimsonwing shares rally on new contracts

Following yesterday’s media release by Crimsonwing plc revealing three new international contracts including one with Mothercare, fresh bids emerged this morning lifting the equity 28% higher to a new 1-year high of €0.32 on volumes totalling 49,500 shares. Lowest offers in Crimsonwing shares are now placed at the €0.35 level. Crimsonwing’s CEO Mr David Walsh also revealed that the Company is implementing a 3-year plan aiming to grow turnover to €20 million and achieve a pre-tax profit of €2 million.

The share price of Bank of Valletta plc also climbed by 1.3% during this morning’s session to regain the €2.30 level ahead of the Bank’s full-year results publication on Friday. A total of 10,604 shares changed hands today across eleven trades with further shares on offer at the €2.30 level.

Meanwhile, the share price of HSBC Bank Malta plc eased by 0.7% (the fifth consecutive decline) back to the €2.701 level on volumes of just over 8,500 shares. Also in the financial sector, Lombard Bank Malta plc held on to the €1.87 level on a single deal of 3,000 shares.

All other active equities ended today’s trading session unchanged on low volumes.

On the bond market, the Rizzo Farrugia MGS Index eased 0.1% lower to a new 5-week low of 994.075 points although Eurozone yields were range-bound between 1.60% and 1.61%. Meanwhile, Spanish 10-year yields have again surpassed the 5.5% level after Moody’s downgraded five of the country’s regions including the Catalonia region which is one of the highest indebted regions.

Last week the Treasury announced the issue of 3 new Malta Government Stocks for a total aggregate amount of €100 million subject to an over-allotment option of up to a further €40 million. The 3 new stocks are: (i) 3.75% MGS 2017 (IV) (Fungibility Issue); (ii) 4.3% MGS 2022 (II) (Fungibility Issue) and (iii) 4.8% MGS 2028 (I). Offer prices will be determined on Thursday 25 October 2012 ahead of the opening of subscriptions on Monday 29 October.