Bank of Valletta share price up 3.75 per cent

This week the Malta Stock Exchange Index closed at 3,227.670 a gain of 0.61 per cent in the first week of trading in 2009. During the week, seven equities were negotiated, with two closing in positive territory, four closing in negative territory and one remaining stable. Bank of Valletta plc gained most territory with an increase of 3.75 per cent to €3.60 in its share price while Fimbank plc lost most ground as its share price dropped by 1.76 per cent and closed at $1.45.

During this week 266 deals were registered on the stock exchange for a turnover of over €9.6 million. In the equity market 121 transactions were carried out for a total value of €311,177. In the corporate bond market 48 transactions for a total value of €450,255 million were executed, while in the government bond market 73 transactions were executed for a value of over €1.8 million. Twenty-four transactions were carried out in the Treasury bills market for a value of over €7.1 million. Trading in the corporate bond market was spread over 16 bonds while in the government bonds trading was executed over 19 bonds.

On Monday Malta Government Stocks closed lower amid high trading activity as the Central Bank of Malta Stockbroker decreased its bid prices in line with a recovery in the yields of the eurozone. Towards the end of the week Malta Government Stocks prices continued to drop as the Central Bank of Malta stockbroker continued to revise downward his indicative bid prices in line with another rise in eurozone yields. On Friday out of six Government Stocks traded, five traded at a higher price although on the week most government stocks were down particularly the longer dated bonds.

Next Tuesday, Midi plc will open to the public its bond issue of €30 million bonds available in euro and in sterling. The 10-year bonds carry a coupon of seven per cent per annum and are due to be redeemed on December, 15, 2018. The Company reserves the right to increase the amount up to an equivalent of €10 million. MIDI's principal business is the project of development of the Emphyteutical Land comprising Tigné Point and Manoel Island. The proceeds from the Bonds, which net of commissions and expenses are expected to amount to €29.1 million, shall be used principally to contribute towards the finalisation of the construction of Tigné Point.

During this week Bank of Valletta plc appreciated by 3.75 per cent to €3.60 as 70 deals were executed for a total volume of 48,301 shares for a total value of €173,034. The equity was the most active most probably the result of the fact that shareholders of Bank of Valletta plc as at next Monday, January, 12, will be eligible to the one-to-five bonus share issue. However, the increase was not in a straight line as on Wednesday and Thursday the share price dropped back to €3.56, to go up again on Friday.

The share price of HSBC Bank Malta plc remained stable at €2.70 as 36,422 shares changed hands across 28 deals for a total value of €96,803. On Wednesday, HSBC dropped by 3.7 per cent to a fresh 47-month low of €2.60.

After ending the year with a rally of seven per cent, on Monday Fimbank plc was traded 1.8 per cent lower than the previous price. On Wednesday Fimbank announced that its board of directors is scheduled to meet on March 9 to consider and approve the company's annual financial statements for the financial year ended December 31 and consider the declaration of a final dividend to shareholders. This week Fimbank plc dropped by 1.76 per cent to $1.45 on two transactions for a total volume of 2,400 shares.

On Monday Malta International Airport plc was traded for the first time since December 10, 2008. During this week MIA dropped by 0.40 per cent to €2.49 as 3,500 shares were negotiated across four deals.

RS2 Software plc closed marginally lower on a single trade of 6,000 shares at €0.799, that is, lower than the €0.80 IPO level.

Maltapost plc lost 0.12 per cent to €0.817 as 2,021 shares were negotiated across two deals for a total value of €1,651.

Go plc was a positive performer during the week as its share price increased by 0.46 per cent to €1.76 when 13,463 shares were negotiated across 28 deals for a total value of €23,638.

This article, which was compiled by Jesmond Mizzi Financial Services Limited (JMFS), does not intend to give investment advice and the contents therein should not be construed as such. JMFS is licensed to conduct investment services by the MFSA. The directors or related parties, including the company, and their clients are likely to have an interest in securities mentioned in this article. For further information contact JMFS at 67/3, South Street, Valletta or on Tel: 2122 4410 or e-mail jmizzi@jmfs.net.