Daily Market Highlights (11.01.12)

  • MSE Share Index ended this morning’s session minimally lower at 3,109.538 points as GO’s 6.3% plunge was mostly offset by HSBC’s 0.8% rise. Meanwhile BOV closed unchanged. Download a copy of the Equity Market Summary.
  • On the bond market, the Rizzo Farrugia MGS Index edged marginally lower to 986.187 points. Almost €480,000 (nominal) of the retail tranche of the 5.2% MGS 2031 changed hands during this morning’s session with its price closing at 102.46% representing a 27 basis points drop from the previous level.
  • Further selling pressure emerged in GO shares this morning with the equity plunging another 6.3% to a new all-time low of €0.89 on volumes of 3,738 shares. Following the 49.4% drop registered in 2011 and the 9.2% slump in the first few trading sessions of 2012, GO now ranks as the sixth largest company on the local equity market with a market cap of €90.2 million compared to fourth place as at the end of 2009. This reflects the uncertainty surrounding the Group’s indirect investment in Forthnet which is currently facing financial difficulties. In fact, Forthnet is scheduled to hold an Extraordinary General Meeting next Friday 13 January seeking shareholders’ approval on a number of changes to its capital structure and a €30 million rights issue in line with the conditions of its restructured debt.
  • BOV’s equity failed to hold on to an intra-day high of €2.29 to close the mid-week session unchanged at the €2.28 level. Fourteen trades totalling over 24,700 shares traded today with other offers unsatisfied at the closing price.
  • Fresh bids lifted HSBC’s share price up by 0.8% to €2.60 across four trades amounting to 4,180 shares. Other offers outstanding at the closing price with highest bids at the €2.57 level. The Bank generally publishes its preliminary full-year results by the end February.
  • MaltaPost is scheduled to hold its Annual General Meeting on Tuesday 17 January during which shareholders will be asked to approve the final net dividend of €0.04 per share and the option to take the dividend in the form of new shares at the attribution price of €0.98 per share. The equity was inactive today with offers in the market at the last closing price of €1.00 and highest bids at €0.971.