Daily Market Highlights (02.05.2022)
MSE Equity Price Index drops on light volumes
The MSE Equity Price Index opened the week in negative territory as following last Friday’s upsurge of 3%, during today’s trading session the index eased by 0.47% to 3,694.658 points. The drops in IHI and Farsons outweighed the uplifts in MIA, BOV and M&Z whilst four other companies closed the day unchanged. Trading activity in equities contracted to €0.08 million compared to €0.64 million last Friday. Download today’s Equity Market Summary.
International Hotel Investments plc retracted by 5.6% back to the €0.76 level across 39,527 shares. Last Thursday, IHI announced that it signed a preliminary Term Sheet with the United Development Company (“UDC”) of Qatar. The agreement provides that subject to the attainment of all necessary approvals, a satisfactory completion of a due diligence process, and satisfactory negotiation and completion of all requisite definitive agreements, UDC will subscribe to 100,000,000 new shares to be issued by IHI at a subscription price of €1.22 per share. Furthermore, UDC will be granted an option to subscribe to an additional 200,000,000 new shares within one year at a price of €1.28 per share. UDC is the owner and developer of ‘The Pearl in Doha’, Qatar, which is a luxury residential, commercial, social and hospitality development. UDC is a listed company whose main shareholder is the Pension Fund of Qatar.
The other negative performing equity today was Simonds Farsons Cisk plc as it dropped by 0.6% to the €8.20 level albeit on trivial volumes.
Low trading activity also took place in the equity of GO plc which traded flat at the €3.30 level.
Also among the large companies by market value, HSBC Bank Malta plc stayed at the €0.78 level on a total of 15,381 shares.
A single deal of 25,000 shares left the share price of Malta Properties Company plc at the €0.505 level.
Grand Harbour Marina plc also closed the day unchanged at the €0.62 level across 7,750 shares. Today, GHM announced that its Board of Directors is scheduled to meet on 16 May to consider the payment of a dividend.
Elsewhere, Malta International Airport plc recaptured the €6.00 level (+0.8%) albeit on light volumes.
Bank of Valletta plc added 1.3% to the €0.78 level across 11,700 shares.
M&Z plc moved 2.7% higher to a new high of €0.77 across 12,950 shares.
The RF MGS Index posted the sharpest drop in three weeks as it fell by 0.53% to an over 9-year low of 993.155 points. Concerns over weak economic growth within the euro area extended further as German retail sales unexpectedly declined in March. Moreover, the eurozone economic sentiment indicator moved lower for the second consecutive month to the lowest level since March 2021.
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.