Lombard seeking circa €50 million in fresh equity

The MSE Equity Price Index trended lower for the first time in four days as it eased by 0.04% to 3,601.387 points. The negative performance of PG offset the gains in Plaza and Malita whilst GO and Mapfre Middlesea traded unchanged. Trading activity in equites remained subdued as only €0.04 million worth of shares changed hands. Download today’s Equity Market Summary.

The main development across the local equity market was the announcement issued yesterday by Lombard Bank Malta plc in which the Bank provided further details about its upcoming Extraordinary General Meeting to be held on Thursday 10 November. Lombard also noted that it plans to raise new equity, amounting to circa €50 million, through a Rights Issue which would not only further strengthen the Bank’s capital base in regulatory terms, but also enable the continued implementation of its growth and diversification strategy. Further information relating to the Rights Issue, including the record date, the number of ordinary shares to be issued, as well as the issue price, will be announced in due course. However, the new shares will first be offered on a pre-emptive basis to eligible shareholders who will also have the opportunity to subscribe for any additional shares. Any new shares not subscribed for by eligible shareholders will be offered for subscription to any other person/s including the general public under the same or other conditions no more favourable than those offered to eligible shareholders. Lombard shares remained inactive today.

PG plc retracted by 0.9% back to the €2.10 level on a total of 11,434 shares.

GO plc remained at its near two-year low of €2.92 albeit on trivial volumes.

Two deals totalling 3,500 shares left the share price of Mapfre Middlesea plc at the €1.60 level.

Elsewhere, Plaza Centres plc trended 1.3% higher to recapture the €0.76 level across 3,200 shares.

Malita Investments plc rebounded by 0.7% to the €0.725 level across 6,000 shares.

The RF MGS Index erased some of yesterday’s drop as it advanced by 0.12% to 863.827 points. Almost all MGS prices moved in positive territory despite further upward pressure on euro sovereign bond yields as the 10-year German Bund yield surpassed the 2.5% mark for the first time in more than eleven years.

This report contains public information only and is not to be construed as investment advice or an offer to buy or sell any securities. Information contained herein is based on data obtained from sources considered to be reliable, but no representations or guarantees are made with regard to the accuracy of the data.  Stock markets are volatile and subject to fluctuations which cannot be reasonably foreseen. Past performance is not necessarily indicative of future results. Rizzo, Farrugia & Co. (Stockbrokers) Limited is a company licensed to undertake investment services in Malta by the MFSA under the Investment Services Act, Cap. 370 of the Laws of Malta and a member of the Malta Stock Exchange.