The MSE Equity Total Return Index recouped its previous week’s lost ground as it closed 3.79 per cent higher at 8,069.366 points over the four-day trading week. A total weekly turnover of €1.1 million was generated over 204 transactions. Out of 13 active equities, eight headed north while another three closed in negative territory.
In the banking industry, Bank of Valletta plc headed the list of gainers once again, as it registered a 13.33 per cent increase in price. The bank reached a five-week high of €1.03 during the week, to then close one cent lower at €1.02 on Friday. Total weekly turnover stood at €46,674 over 27 deals involving 47,524 shares were executed.
Its peer, HSBC Bank Malta plc was up by 2.11 per cent, ending the week at the €0.97 price level.
This was the result of 63,750 shares spread over 10 transactions.
The most liquid equity this week was RS2 Software plc as total turnover amounted to €285,915. A total of 150,400 shares were executed over 20 deals, oscillating between a high of €1.93 and a low of €1.86, to then close 1.04 per cent lower on the week at the €1.90 price level.
GO plc rebounded by 7.78 per cent as six deals involving 2,300 shares were executed. The equity traded at a high of €3.96 on Tuesday but ended the week at €3.88. Its subsidiary, BMIT Technologies plc, traded flat at €0.49. This was the outcome of 284,756 shares changing hands across 26 transactions.
Malta International Airport plc was the second most traded equity during the week, generating a total turnover of €224,031. The company’s shares recovered from the previous, as 59 deals involving 45,233 shares pushed the price to €5.00.
Retail conglomerate, PG plc, was quite liquid this week as total turnover stood at €196,576. The equity traded 15 times over a mix of 114,834 shares, ending the week 6.51 per cent higher at €1.80. Another equity registering a double-digit gain this week was International Hotel Investments plc. Nine deals involving, 54,940 shares pushed the price 10.19 per cent higher, to close at €0.595.
Simonds Farsons Cisk plc ended the week at its 13-month low price of €8.50, as 14 deals of 5,107 shares dragged the equity’s price by 7.61 per cent.
In the property sector, four issues were active. Malta Properties Company plc was the best performer as it closed 7.14 per cent higher at €0.525. Six deals involving 31,833 shares were executed. On Monday, Trident Estates plc announced the board shall be meeting on May 13, 2020 to consider, and approve the audited financial statements for the year ended January 31, 2020. During the meeting, the declaration or otherwise of a final dividend shall be recommended to the AGM. In view of COVID-19 restrictions it may not be possible to hold the meeting on that date. A further company announcement will be issued concerning the fixing of a date for the AGM.
The equity traded twice over a mix of 10,643 shares. This resulted into a 3.13 per cent rise in price, to close at €1.32.
Eight deals involving 39,531 MIDI plc shares dragged the price by 2.70 per cent, to end the week at €0.36. Malita Investments plc was active but closed unchanged at €0.80. The equity was active over two deals spread over 6,000 shares.
A number of COVID19 related announcements were made throughout the week, however, no trading was recorded across the below respective securities.
On Monday, MaltaPost plc announced that it is constantly monitoring developments resulting from the impact of the COVID-19 pandemic.
Malta International Airport plc was the second most traded equity during the week
The company continues to implement its contingency plans within its overall risk assessment policies, together with the recommendations issued by the Government of Malta, the Public Health Authorities, as well as other Regulators. To date, all the services normally provided by MaltaPost and its national network of offices remain fully functional, however circumstances have called for certain measures to be implemented and some delays and reduction in business are inevitable.
On Wednesday, Medserv plc announced the board is scheduled to meet on May 29, 2020 to consider, and if thought fit, approve the annual financial statements of the company for the financial year ended December 31, 2019. The following day, the company was informed by its two major shareholders that due to the current COVID19 pandemic, the intended sale to AMT S.A. (including the intended share for share exchange and launch of the voluntary offer) has been aborted. The decision was reached by both parties on an amicable basis and a termination agreement to this effect was signed yesterday. The major shareholders advised that this transaction was terminated for reasons outside of the parties’ control, and that for this reason they will embark on a series of discussions with AMT S.A. to determine whether there still is scope for a transaction.
The major shareholders’ intent remains to source a strategic purchaser to acquire their shareholding in the company and supplement the company’s growth and internationalisation strategy.
On Wednesday, Loqus Holdings plc gave the market an update on COVID-19 effects. Local back office operations have been impacted. Closing down of local tribunals and Law Courts has already had an effect and reduced revenue in this department. Their ongoing fleet operations continue to function normally with a number of fleet clients in transport and logistics, postal and courier experiencing a boost. One of their UK clients has shut down operations for the next three months. This will affect the short-term forecasted revenues and potentially medium-term revenues.
On Thursday, Main Street Complex plc announced the board is scheduled to meet on April 21, 2020 to consider and, if deemed appropriate, approve, the company’s audited financial statements for the financial year ended December 31, 2019. The board shall also consider whether to declare and make a recommendation to the shareholders for the payment of a final dividend for the financial year ended December 31, 2019.
The MSE MGS Total Return Index reached 1,132.72 points, translating into a one per cent weekly increase. This was in line with the European equity market, as early indications to a potential treatment was revealed on Friday by Gilead Sciences, with the development of a drug that seems to be effective in treating people infected with the coronavirus. Analysts are still stating it is still premature to draw any conclusions.
In the local sovereign market, 18 issues were active, of which 11 advanced while another five traded lower. The 4.1% MGS 2034 (I) registered the best performance, as it closed 3.08 per cent higher at €150.50. Conversely, the 5.1 per cent MGS 2022 (I) was down by 0.34 per cent, to close at €111.97.
The MSE Corporate Bonds Total Return Index was up by 1.26 per cent, as it closed at 1,049.49 points. Out of 46 active issues, 23 traded higher while another 14 lost ground. The 5.75% International Hotel Investments plc Unsecured € 2025 headed the list of gainers with a 5.21 per cent increase, to close at €101.00. On the other hand, the 5% Mediterranean Investments Holding plc Unsecured € 2022 lost 5.64 per cent, ending the week at €92.00.
In the Prospects MTF market, six issues were active. The 4.75% Orion Finance plc € Unsecured 2027 and the 4.25% Calamatta Cuschieri Finance plc Unsecured Callable 2024-2026 were active on 10,000 nominal each. Both issues closed unchanged at €99.00 and €100.00, respectively.
This article, which was compiled by Jesmond Mizzi Financial Advisors Limited, does not intend to give investment advice and the contents therein should not be construed as such. The company is licensed to conduct investment services by the MFSA and is a member of the Malta Stock Exchange and a member of the Atlas Group. 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 Jesmond Mizzi Financial Advisors Limited at 67, Level 3, South Street, Valletta, on 2122 4410, or e-mail info@jesmondmizzi.com