APS raises €30m via Rights Issue placement process

The MSE Equity Price Index remained virtually unchanged at 3,734.319 points as the declines in APS, BOV, HSBC, Hili Properties, and Malita outweighed the gains in AX Real Estate, GO, IHI, and Lombard. Meanwhile, two equities closed unchanged as today’s trading activity was muted at €0.31 million. Download today’s Equity Market Summary.

APS Bank plc slumped by 4.1% to an all-time low of €0.47 across three deals amounting to 1,243 shares. Today, APS announced that all the lapsed rights of the qualifying shareholders, namely AROM Holdings Ltd (owned by the Archdiocese of Malta) and the Diocese of Gozo, amounting to 67,648,793 shares have been taken up via a placement process. These shares were placed at the offer price of €0.44 per share, for a total value of €29.8 million. APS explained that once regulatory approval is received, the Rights Issue prospectus will be published, and the ordinary application process of the Rights Issue will commence. Any shares not subscribed by eligible shareholders will be offered to the general public through an intermediaries’ offer, also at a price of €0.44 per share.

Also in the banking sector, Bank of Valletta plc shed 0.5% to the €1.87 level over nine trades totalling 17,654 shares. Today, BOV announced that last week it bought 2,821 of its own shares at a price of €1.88 per share.

HSBC Bank Malta plc moved 0.7% lower to the €1.42 level on a single deal of 4,786 shares.

Hili Properties plc slumped by 8.3% to the €0.22 level on two trades of 29,600 shares.

Malita Investments plc decreased by 1.0% to a fresh all-time low of €0.402 as 2,500 shares changed hands.

On the other hand, GO plc was today’s most actively traded equity as it rose by 1.5% to €2.64 level across thirteen deals totalling 100,028 shares. Nonetheless, the vast majority of activity took place at €2.54 (-2.3%).

AX Real Estate plc increased by 2.1% to the €0.29 level on two trades totalling 17,301 shares.

International Hotel Investments plc surged by 7.0% to the €0.46 level on muted activity.

Lombard Bank Malta plc gained 1.5% to the €0.69 level over trivial volumes.

MaltaPost plc closed unchanged at the €0.444 level across four deals amounting to 3,100 shares.

The ordinary shares of RS2 plc traded flat at the €0.34 level as 16,500 shares changed hands. On Friday evening, RS2 plc announced that its subsidiary RS2 Smart Processing has concluded three deals for the provision of processing services. RS2 explained that the revenue from these deals will take the form of one-time implementation fees that will be recognised throughout the implementation term which has already commenced, followed by regular transaction processing revenue once the client is live and in production. The duration of the implementation term varies from three months to twelve months depending on the size of the projects, while the duration of each contract varies from five to seven years.

Following the close of trading, Malta International Airport plc announced that last week it bought 3,960 of its own shares at a weighted-average price of €5.99 per share. Furthermore, the announcement specified that the share buy-back programme will be suspended with immediate effect and will remain suspended until the announcement of MIA’s next financial results. The programme will resume on the business day following the publication of these results.

The RF MGS Index rose by 0.15% to a two-month high 912.610 points amid fears of an economic slowdown following last Friday’s announcement by President Donald Trump that the US will impose an additional 100% tariff on Chinese imports as from November. The harsh US proposal was announced after China imposed levies on ships built or registered in the US calling at Chinese ports, reciprocating a similar policy where the US is charging Chinese vessels port fees. While later President Trump softened his stance, the German 10-year bund yield still hovered at a 2-month low of 2.63%.

 

This report contains only public information and is not to be construed as investment advice or an offer to buy or sell 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.