Daily Review 29.01.2025
Mixed movements on low trading amounts
The MSE Equity Price Index fell by 0.29% to 3,729.029 points as the declines in BOV, Lombard, Malita, and PG outweighed the gains in APS, GO, HSBC and MPC. Meanwhile, two other equities closed unchanged as today’s trading activity in local equities amounted to €0.15 million. Download today’s Equity Market Summary.
Bank of Valletta plc shed 1.1% to the €1.72 level across seven deals totalling 13,557 shares.
Also in the banking sector, Lombard Bank Malta plc slumped by 5.1% to a two-year low of €0.74 on a single deal of 1,000 shares.
Malita Investments plc plummeted by 4.8% to the €0.50 level across two trades totalling 41,250 shares.
PG plc decreased by 1.1% to the €1.83 level over five deals amounting to 20,381 shares.
On the other hand, APS Bank plc gained 2.7% to the €0.58 level on two trades totalling 6,103 shares.
HSBC Bank Malta plc moved 0.7% higher to €1.41 level over four trades amounting to 11,112 shares. Yesterday, HSBC Malta announced that it entered into a 3-year unsecured €60 million loan agreement with its parent company HSBC Continental Europe to meet the minimum requirement for own funds and eligible liabilities as set by the Single Resolution Board. The loan has an option of early repayment as from the second year and bears interest at a rate equal to 3-months EURIBOR plus a margin of 76 basis points which currently results in an effective rate of around 3.40%.
A single trade of 7,007 shares pushed the share price of GO plc 0.8% higher to the €2.60 level.
Malta Properties Company plc rose by 2.2% to the €0.368 level over three deals amounting to 18,129 shares.
Meanwhile, Malta International Airport plc closed unchanged at the €6.20 level across four trades totalling 3,715 shares.
Mapfre Middlesea plc held the €1.36 level over trivial volumes.
The RF MGS Index rose by 0.17% to 910.092 points, reflecting a marginal decline across eurozone sovereign bond yields. Concerns of rising stockpiles of various fossil fuels led to lower oil prices. The anticipated US trade tariffs on Canada and Mexico were also attributed as a potential reason for the weaker energy prices.
Yesterday, the Treasury Department announced that the amount of issuance of Malta Government Stocks (MGS) during 2025 will not exceed €1.5 billion. The funds raised will be principally used to finance the estimated Government deficit of €850 million and the redemption of two MGS issues, an EU Loan, and the 62+ Malta Government Saving Bond issued in 2020 which, in aggregate, amount to just under €540 million. The Treasury explained that the conventional fixed rate MGS will be the primary financial instrument used to fund the Government’s borrowing plan. The Treasury is aiming to spread its issuance programme for 2025 over three to four issuances whilst the maturity structure will be a mix of short and medium to long term MGS.
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.