Daily Market Highlights (27.10.2022)

APS publishes Quarterly Update


The MSE Equity Price Index shed 0.37% to 3,623.646 points reflecting the declines in BOV and the ordinary shares of RS2. Meanwhile, International Hotel Investments plc retained the €0.75 level on a single trade of 1,000 shares. Download today’s Equity Market Summary.

The main development across the local equity market today was the Quarterly Financial Update published by APS Bank plc covering the nine-month period ended 30 September 2022. APS registered growth in net interest income (+15% to €46.7 million) but incurred a loss of €8.41 million in non-interest income in relation to the performance of APS Funds SICAV. Overall, the APS Group reported a net profit of €0.9 million for the nine-month period. However, on a standalone basis, the Bank registered a net profit of €14.2 million (which translates into an annualised return on equity of circa 8.4%) which is 37% higher than the net profit of €10.4 recorded in the corresponding period in 2021. The Bank’s Capital Adequacy Ratio and the CET 1 Ratio stood at 18.8% and 15.2% respectively. The equity remained inactive today.

Bank of Valletta plc dropped by 2.2% to the €0.89 level on a single trade of 3,300 shares.

The ordinary shares of RS2 Software plc fell by 1.4% to the €1.36 level on two deals totalling 2,050 shares. RS2 shareholders as at close of trading on Wednesday 2 November 2022 will be entitled for a 1-for-8 bonus share issue.

The RF MGS Index snapped a four-day positive streak as it eased by 0.09% to 881.152 points. Today, the ECB raised its key interest rates by another 75 basis points as part of its strategy to tame inflation to the 2% target, in contrast to September’s eurozone inflation rate of 9.9%. As such, ECB’s deposit rate will stand at 1.5% with effect from 2 November. Following the decision, ECB President Christine Lagarde explained that the bank expects to raise interest rates further in the future, but the extent will be determined by the evolving outlook for inflation and the economy.

Today, Mariner Finance plc published further details in relation to its upcoming €60 million unsecured bonds maturing in 2032. The company announced that the bonds will have a coupon of 5%. Subject to regulatory approval, Mariner Finance will reserve an amount of up to €40 million of the new bond issue for holders of the existing 5.3% unsecured bonds 2024 as at close of trading on 9 November 2022 to subscribe for the new bonds by surrendering the corresponding amount of existing bonds in favour of the company. A premium of 1.50% will be payable by Mariner Finance to the holders of existing bonds participating in the proposed exchange offer. Holders of the existing bonds will also be given preference to subscribe for the new bonds in excess of the amount corresponding to their existing holding. The remaining €20 million will be offered for subscription by the general public subject to a minimum subscription amount of €2,000 (nominal).


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.