Daily Market Highlights (15.11.11)

  • HSBC’s 2.7% rise helped the MSE Share Index recover by 0.7% from its 2-year low to 3,088.140 points. BOV and IHI also edged minimally higher whilst MIA and Medserv retreated. The only other active equity, MaltaPost, closed unchanged. A further five companies issued their respective Interim Statements today. Download a copy of today’s Equity Market Summary.
  • Subscriptions for the two new Malta Government Stocks, namely the 4.25% MGS 2017 (III) FI at 103.75% and the 5.2% MGS 2031 (I) at 100.75%, will close on Wednesday afternoon. Application Forms are available here.
  • HSBC’s equity closed today’s session 2.7% higher at the €2.70 level on high volumes amounting to over 106,000 shares. Shortly after the closure of today’s trading session, HSBC Malta published its Interim Directors’ Statement revealing that the Bank’s financial performance during the period from 1 July to date was broadly in line with expectations. Apart from outlining the prevailing challenging trading conditions and the respective effect on the Bank’s operations, the announcement also revealed that the Bank is expecting a more difficult year during 2012. The Board of Directors approved a plan to achieve sustainable cost savings by the end of 2013. In this respect, HSBC revealed that their 2011 financial statements will be adversely impacted by a one-off restructuring charge of approximately €10 million mainly relating to early retirement schemes which will be offered to the Bank’s employees. In the concluding statement by the Bank’s CEO, Mr Alan Richards explained that although HSBC Malta remains highly liquid and well capitalised, it needs to maintain its focus on cost and risk management as trading conditions are becoming even more challenging.
  • Low volumes traded in BOV and IHI as both equities moved minimally higher. BOV’s share price closed at the €2.421 level on low volumes of 4,000 shares with IHI rising 0.3% to €0.782 on a single trade of just over 8,500 shares.
  • On the other hand, following last week’s announcement which revealed the waiver of landing fees for the winter period, the share price of MIA slipped a further 2.9% today to close at the €1.65 level on a single deal of 2,800 shares. After today’s downturn, MIA’s share price is now 0.6% below its value at the beginning of the year.
  • Medserv shares active for the first time since 22 July ahead of tomorrow’s Board Meeting which, amongst other things, is expected to consider the payment of an interim dividend. 100 Medserv shares changed hands today at a new 25-month low of €3.84 representing a 0.3% drop from the previous closing price. Other offers unsatisfied at the last traded price whilst best bids now placed at the €3.35 level.
  • The only other active equity, MaltaPost closed unchanged at the €0.98 level across five trades totalling 35,000 shares. Further offers unsatisfied at the closing price whilst best bids now pitched at the €0.95 level ahead of the Company’s publication of its financial statements for the year ended 30 September 2011 on Thursday 1 December.
  • Apart from HSBC, another four companies, namely FIMBank, 6pm, RS2 Software and GlobalCapital, issued their respective Interim Directors’ Statements. Details on each announcement may be followed through the Latest News section.