Daily Market Highlights (27.02.12)

  • Following last week’s 0.3% rise, the MSE Share Index this morning rose by a further 0.4% to a new 3-week high of 3,010.921 points with all active equities ending the session higher. Download a copy of the Equity Market Summary.
  • On the bond market, the Rizzo Farrugia MGS Index moved marginally higher for the third consecutive session to 988.013 points. There were insignificant movements in Eurozone yields as markets await next Wednesday’s cash injection by the European Central Bank.
  • Following the announcement of 14 February, Corinthia Finance plc this afternoon announced that it has been granted approval by the Listing Authority to issue a new €7.5 million bond maturing between 2019 and 2022. The coupon was set at 6% with holders of the maturing 6.75% bond being given preference. Further details on this new bond issue will be included in the Prospectus which will be available electronically from Wednesday 29 February.
  • HSBC’s equity moved 0.4% higher to regain the €2.60 level on volumes of 3,000 shares. Last Friday, the Bank published its preliminary 2011 financial results revealing a 6.3% increase in pre-tax profits to €88.3 million. The 2011 results were characterised by a number of one-offs such as the sale of the card acquiring business and the €6.9 million unrealised gain from an adjustment in the methodology of the insurance business on the income side and an €11 million charge relating to a voluntary retirement scheme on the costs side. Excluding such extraordinary items, HSBC Malta’s profitability is line with that of 2010. The Directors recommended a final gross dividend of €0.072 per share payable to those shareholders as at close of trading on Tuesday 13 March. Further details available here.
  • New bids also helped BOV’s share price rise 0.9% to close at the €2.20 level although lowest offers are already pitched at the €2.19 level. Nine trades totalling 5,659 shares changed hands during this morning’s session.
  • Similarly, a single trade of 1,000 Lombard shares was transacted at the €2.53 level representing a 0.8% rise from the previous close.
  • GO’s equity again managed to recover from an intra-day low of €0.82 to close this morning’s session 2.3% higher at the €0.849 level. A total of 5,905 shares were exchanged today with best bids still in the market at €0.76 with lowest offers pitched at the €0.85 level. Last week, GO announced that it has reached an agreement with the Government of Malta to transfer eleven properties to the Company. These properties, which mainly consist of telephone exchanges, are already occupied by the Company and form part of the Company’s core operations. In return, GO will transfer the land in Qawra back to the Government. The transfer of properties, which is still subject to Parliament approval, was valued at €13.8 million.
  • A number of companies are scheduled to shortly publish their respective 2011 full-year results: Middlesea Insurance (28 February), Plaza (8 March), FIMBank (12 March), Lombard (15 March), Medserv (21 March) and MIA (22 March). A further seven companies with a December year end have yet to announce the date of their 2011 results publication.