Daily Market Highlights (14.11.2022)
MSE Equity Price Index drops to 11-week low
The MSE Equity Price Index opened the week in negative territory as it eased by 0.17% to 3,573.187 points – the lowest level since end August 2022. The drops in BOV and GO were only partially offset by the rebound in HSBC whilst APS and MedservRegis closed the day unchanged. Overall trading activity was muted as only €0.03 million worth of shares changed hands. Download today’s Equity Market Summary.
Bank of Valletta plc retraced by 1.7% back to the €0.87 level across 12,242 shares.
GO plc moved to a fresh two-year low of €2.90 (-0.7%) albeit on trivial volumes.
In contrast, HSBC Bank Malta plc rebound by 1.4% to recapture the €0.73 level across 10,495 shares.
Also in the retail banking segment, APS Bank plc stayed at the €0.61 level after recovering from an intra-day low of €0.60 (-1.6%). A total of 15,839 shares traded.
A single deal of 6,500 shares left the share price of MedservRegis plc at the €0.70 level. Last Friday, MedservRegis plc issued an Interim Report providing information about its financial performance up to Q3 2022. The Group also raised its full-year forecasts for 2022 and is now expecting revenues to amount to €54.7 million whilst EBITDA to improve to €11.6 million. Moreover, the Updated FAS forming part of the Bond Prospectus shows that in 2023, MedservRegis is expecting revenues to increase by 8.3% to €59.2 million reflecting the start of new operations offshore Libya as well as the activity in Uganda where MedservRegis is supporting the construction of a 1,440 km pipeline from Uganda to Tanzania. The projections for the 2023 financial year also show that the Group is expecting to generate an EBITDA of €14.2 million (+21.7%) which would also translate into an improved margin of just under 24% compared to 21.3% in 2022. MedservRegis also added that it has identified significant growth potential both in existing markets as well as in new countries (such as Morocco and Lebanon) and that new contracts are expected to be awarded in the coming months.
The RF MGS Index moved lower for the first time in four days as it slipped by 0.56% to 887.238 points. Industrial production across the single currency block slowed in September but the deceleration was lower than anticipated. Elsewhere in the UK, the chancellor of the exchequer noted that the new fiscal plan to be announced this week will include tax increases as well as public spending cuts. Meanwhile in China, regulators unveiled measures aimed at supporting the country’s property market including extensions on debt repayments. On the political front, the Presidents of the US and China signalled their willingness to restore bilateral ties ahead of a G20 meeting.
Today, GAP Group plc announced that it filed an application with the MFSA requesting admissibility to listing of €23 million secured bonds having a coupon of 4.75% and maturing between 2025 and 2027. Full details of the new bonds will be provided in a prospectus that will be made available following regulatory approval.
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.