IHI share price jumps 10.8%

The share price of International Hotel Investments plc advanced by 10.8% to the €0.82 level on volumes of over 36,000 shares following yesterday’s announcement related to developments regarding the possible new equity injection. IHI explained that since the prevailing challenging economic conditions of financial markets impede it to successfully raise new equity capital through a public offering, IHI will be inviting a number of potential investors consisting primarily of sovereign funds and other institutions, to participate in the subscription of new shares through a private placement. The bounce in IHI’s equity offset other negative performing equities to help the MSE Share Index rise by 1.2% to a fresh 4-week high of 2,962.576 points.

Meanwhile, HSBC Bank Malta plc’s share price retreated by 0.8% back to its 2012 low of €2.50 across four trades totalling 15,240 shares. GO plc also plunged 6.3% to its all-time low of €0.75 on volumes of 13,000 shares. The quad-play telecom operator is scheduled to hold its Annual General Meeting on 9 May during which shareholders will be asked to approve the customary resolutions as well as a number of special resolutions as put forward by some shareholders.

Malta International Airport plc saw a 2.9% decline in its share price to a new 2012 low of €1.65 across three trades totalling 1,600 shares. The airport operator is also scheduled to hold its Annual General Meeting in the second week of May.

6pm Holdings plc shares also closed in negative territory as the equity was active for the first time since 13 February. A single trade of 62,300 shares was transacted at a new 3-month low of GBP0.34 representing an 8.1% drop from the previous close. Last week, the IT Group published its 2011 results revealing a loss attributable to shareholders of just over GBP328,000 despite a substantial increase in revenue following a number of acquisitions undertaken during 2011. The Directors did not recommend a dividend but proposed a 1 for 25 bonus issue to all shareholders as at close of trading on 26 April.

The other three active equities ended the session unchanged on low volumes. Most notably, Bank of Valletta plc held on to the €2.12 level across three trades totalling 2,115 shares ahead of next Friday’s half-year results publication. Similarly, Simonds Farsons Cisk plc shares maintained that €1.77 level prior to the Group’s full-year results publication scheduled for tomorrow.

On the bond market, the Rizzo Farrugia MGS Index edged 0.1% higher to 986.540 points as Eurozone yields recovered from their all-time lows. In fact, Eurozone yields this afternoon are at 1.685% after concerns over the Netherlands eased as the country managed to successfully complete a €2 billion bond auction. Furthermore, Italy and Spain also successfully held bond auctions today although borrowing costs rose.