Daily Market Highlights (20.04.12)

  • MSE Share Index sheds 0.3% during this morning’s session to 2,922.377 points as the 1.4% drop in BOV offset the 0.2% rise in the share price of HSBC. Meanwhile the two other active equities closed unchanged. Over the week, the local equity benchmark declined by 0.2% (third weekly decline in four weeks) mainly reflecting the weekly drops in BOV (-0.5%) and MIDI (-10.3%). Download a copy of the Equity Market Summary.
  • On the bond market, the Rizzo Farrugia MGS Index was practically unchanged today at 985.665 points representing a weekly increase of 0.1%. This week’s upturn partially reflects this morning’s drop in eurozone yields to near-record lows of 1.678%.
  • The share price of BOV lost the gains that accumulated in previous days as lack of support for the equity at €2.13 forced the price to close today’s session 1.4% lower at €2.10 on volumes totalling 22,650 shares. The equity closed the week 0.5% lower ahead of the publication of the Bank’s interim results due next Friday 27 April. Meanwhile this afternoon the Malta Stock Exchange announced that the recently issued €40 million 4.25% BOV notes maturing in 2019 were admitted to the Official List with effect from today and trading is expected to commence from next Monday 23 April.
  • Meanwhile HSBC’s equity rose a further 0.2% today to end the week at the €2.52 level representing a weekly rise of 0.8%. Earlier this week, HSBC Malta held its Annual General Meeting during which all resolutions were approved including the final gross dividend of €0.072 per share which will now be paid on 27 April.
  • No changes in the share price of the two other active equities with over 12,000 IHI shares changing hands at the €0.74 level and 4,266 MIA shares traded at the €1.70 level.
  • MIDI’s equity ended the week as the worst performer with a 10.3% drop despite the publication of a clarification by the Company earlier this week following the recent media comments. Through a company announcement and a press release, MIDI confirmed that it is still committed to develop Manoel Island and also clarified comments made by the Chairman Mr Albert Mizzi (in a recent interview) that the company cannot be expected to give up its ‘right’ to develop the approved area on Manoel Island without being reimbursed for obligations already settled and compensation for what it would forego. Furthermore, the press release issued by MIDI also confirmed that 95% of the 280 residential units built so far have been sold and delivered while all the outlets at Tigne Point have been rented out. MIDI is scheduled to publish its 2011 full-year results on 30 April.
  • GO yesterday published its 2011 Annual Report together with the agenda for the upcoming Annual General Meeting scheduled to be held on 9 May. Apart from the ordinary resolutions customary at all general meetings, the agenda for GO’s AGM includes 6 special resolutions following a request made by a number of shareholders representing more than 5% of the Company’s issued share capital. The special resolutions are linked to the Group’s significant investment in Forthnet, the recent exchange of properties between the Company and the Government of Malta, the Group’s dividend policy as well as an expression of no confidence in the present Board of Directors and senior executives of the management team. Further details available here.
  • Yesterday, Grand Harbour Marina issued its 2011 preliminary results covering the performance of the marina in Malta and the Group’s share from the 45% holding in the Turkish marina for the period 18 March 2011 to 31 December 2011. On a combined basis, the two businesses reported an after-tax loss of €664,052 (2010: loss of €771,442) as the improvements at the local marina following the sale of two super-yacht berths was partially offset by the share of loss from the Turkish marina which is still not a mature operation. Further details on results available here. GHM shares again remained inactive during this morning’s session with no bids in sight and lowest offers now placed below the last closing price of €1.89.
  • Similarly no trading was registered this week across the shares of RS2 Software and 6pm Holdings following the publication of their respective 2011 results.