Daily Market Highlights (26.03.12)

  • MSE Share Index eased minimally lower to 2,971.927 points as the declines in BOV and FIMBank ousted the increases in the share prices of MIA and MaltaPost. Meanwhile the other three active equities, HSBC, Medserv and RS2 Software, ended the session unchanged. Download a copy of the Equity Market Summary.
  • On the bond market, the Rizzo Farrugia MGS Index was practically unchanged at 982.437 points as Eurozone yields this morning remained around the 1.88% level. Meanwhile this afternoon, benchmark yields shot up to the 1.93 level on speculation that Germany might be more inclined to favour a temporary strengthening of the currency’s defence mechanisms through the integration of its two bailout funds, namely the European Financial Stability Facility (EFSF) and European Financial Stability Mechanism (EFSM), for a limited period.
  • Last week, BOV published the Final Terms in relation to the issue of the second series of Notes under its €125 million Debt Issuance Programme. The first tranche of this second series will encompass €40 million of Notes carrying a coupon of 4.25% and maturing in 2019. Further details on the new notes together with copies of the Final Terms and other relevant documentation available here.
  • The recent announcements by FIMBank with respect to its 2011 full-year results and the possible takeover by Burgan Bank (a Kuwaiti based bank) generated substantial interest in the equity of the trade finance specialist. In fact, a total of 1.69 million shares traded since the publication of these announcements. During this morning’s session 250,000 shares changed hands at the US$0.85 level representing a 2.3% decline from the previous close with lowest offers at the US$0.869 level.
  • Similarly, BOV’s share price eased 0.1% lower to €2.219 on low volumes of 2,450 shares. Highest bids in the market at €2.2 with lowest offers at the €2.22 level. This month marks the end of the BOV Group’s half-year end with the interim results generally published by the end of April.
  • Third consecutive session of gains for MIA’s equity following last week’s positive full-year results. MIA’s share price up 1.1% to close at the €1.719 level across five trades totalling 9,700 shares. The financial results revealed an 11% increase in net profits to €11.9 million mainly due to the 2.1% growth in revenue to €52.4 million which in turn was mainly the result of the 6.5% rise in passenger movements in 2011 to a record 3.5 million passengers. The Directors recommended a final gross dividend of €0.0615 per share (representing a 14.3% increase over the previous year’s final dividend) to all shareholders as at close of trading on 3 April. In total, MIA declared a gross dividend of €0.1077 for 2011 compared to €0.10 in 2010. Further details available here.
  • Likewise, MaltaPost’s equity ended this morning’s session in positive territory with a 2.2% increase to the €0.93 level. Four trades totalling just over 6,000 shares transacted today with other bids unsatisfied at the closing price and lowest offers at the €0.94 level.
  • Meanwhile HSBC Malta’s equity traded unchanged at the €2.502 level on a single deal of 2,000 shares. The Bank is scheduled to hold its Annual General Meeting on 18 April.
  • Medserv also traded unchanged today at the €3.95 level across three traded totalling 2,500 shares with further offers remaining unsatisfied at the closing price. Last week, the Medserv Group published its 2011 full-year results which revealed a significant improvement in profitability to €761,358 compared to €118,850 in 2010. This improvement was due to the alignment of costs to the significantly lower level of business activity which was mainly impacted by the political turmoil in North Africa. Coupled with the interim net dividend of €0.03 per share, the Directors recommended a further final net dividend of €0.03 per share. Further details of results available here.
  • This morning’s other active equity was RS2 Software which held on to the €0.55 level ahead of the Company’s 2011 financial results publication expected in the coming weeks. A total of 25,500 shares changed hands today.