Daily Market Highlights (13.05.10)

  • MSE Share Index rises by 0.2% to close at 3,509.892 points as gains in HSBC and MaltaPost outweigh the 1.9% decline in Plaza. Meanwhile BOV and GO closed unchanged. Following yesterday’s announcement by the Farsons Group, Eden Finance this morning announced the details of a new bond issue. Furthermore the Treasury has published the prices of the three new Malta Government Stocks announced last Friday. Download a copy of today’s Equity Market Summary.
  • Last week the Treasury announced 3 new Malta Government Stock issues for a total aggregate amount of €100 million subject to an over-allotment option of up to a further €50 million. The prices of the stocks were established as follows: the 3.75% MGS 2015 (VI) at 102.80% (YTM: 3.19% per annum); the 4.6% MGS 2020 (II) at 102.50% (YTM: 4.29% per annum); and the 5.25% MGS 2030 at 99.50% (YTM: 5.29% per annum). Subscription open between Monday 17 May and Wednesday 19 May 2010. Tenders for amounts greater than €100,000 (nom) closed on Friday 21 May 2010 at 12 noon. Copy of Prospectus & Application Forms available here.
  • Yesterday, Simonds Farsons Cisk plc announced a new €15 million 6% bond issue maturing between 2017 and 2020. This bond will primarily be used to finance the early redemption of the outstanding €9.3 million 6.6% bonds. The balance of the proceeds will be used for the general funding purposes of the Group including a €14 million investment in a new brewhouse and water treatment plant. Following the completion of this project the Mriehel façade will be released for re-development. The Farsons Group will be giving preferential allocation to existing bondholders who exchange their bonds for the new bonds. Further details and prospectus available here.
  • Eden Finance plc this morning announced the details of a new 10-year bond issue. Eden will be issuing a €15 million 6.6% Bond maturing between 2017 and 2020. The proceeds will be mainly used to finance the redemption of the outstanding 6.7% Bonds. Existing bondholders will be given preferential allocation if they surrender their existing holding in favour of an equivalent amount of the new Bonds. Further details available here.
  • Tumas Investments plc also announced that it obtained approval for a new 6.2% bond. Tumas will be issuing €20 million with an over-allotment option of a further €5 million. The proceeds of this new Bond will be primarily used to finance the early redemption of the outstanding €16.3 million 6.7% Bonds which will be redeemed on 9 July 2010. The balance of the proceeds will be advanced to the Guarantor for re-financing of existing borrowings and the general corporate funding purposes of Spinola Development Company Limited and its subsidiary companies. Further details will be available in due course.
  • BOV again closes unchanged at the €3.26 level after touching a low of €3.25. Just over 9,500 shares changed hands this morning with best bids at €3.251 and lowest offers pitched at the €3.265 level. BOV will be paying its interim dividend on 28 May.
  • Meanwhile HSBC edges 0.5% higher to regain the €3.035 level on just two trades amounting to 2,000 shares. Best bids already placed minimally higher at €3.036 with lowest offers at €3.08. On Tuesday HSBC published its Interim Directors’ Statement covering the period from the start of their new financial year on 1 January 2010. HSBC explained that during this period, the Bank performed strongly and made further progress in improving revenues and controlling costs, while loan impairments weakened modestly as expected. Further details available here.
  • Positive reaction to MaltaPost interim results. Share price up 2.3% to a 25-month high of €0.88 on three trades amounting to just over 9,000 shares. The half-year financial statements show a marginal increase in revenue which was outweighed by higher costs and lower finance income. As a result pre-tax profit dropped by 3.1% to to €1.86 million. However profit for the period improved to €1.18 million (March 2009: €1.14 million) on a lower tax charge. Further details on results available here.
  • Plaza Centres’ shares active for the first time in almost two months. A single trade of 2,500 shares transacted this morning at the €1.639 level, 1.9% lower than the previous close. Further offers remain unsatisfied at the closing price.
  • GO again unchanged at the €2.12 level on low volumes of 3,000 shares. The telecoms Group is scheduled to hold its Annual General Meeting next Monday 17 May. Last week GO published its Interim Directors’ Statement covering the first quarter of 2010. During this period the GO Group registered growth in turnover and profitability over the comparative period last year from its operations in Malta. Further details available here.

Comments are closed.