Index down 35 per cent in 2008

This week the Malta Stock Exchange index closed at 3,208.215 points, gaining 0.36 per cent in the last week of trading but ending the year at a loss of 35.03 per cent. Once again, this was a short week for the MSE, which traded only on Monday and Tuesday. During the week, five equities were negotiated, three of which traded in positive territory, one in negative territory and one unchanged on the previous week. Shares of Go plc lost most territory as its share price dropped by 4.26 per cent to while FIMBank plc gained 6.96 per cent.

A total of 169 deals were registered on the stock exchange for a turnover of over €20.69 million. In the equity market, 64 transactions were carried out for a total value of €293,696. In the corporate bonds market 45 transactions for a total value of €3.02 million were executed, while in the government bonds market 46 transactions were executed for a value of €5.15 million. Fourteen transactions were carried out in the Treasury bills market for a value of over €12.2 million.

The last trading week was characterised by high turnover in the bonds and Treasury bills markets as seen from the figures quoted above. Sixteen corporate bonds traded this week with the value traded in the 3.8 per cent European Investment Bank reaching €948,059. Six bonds traded at a higher price than their previous traded price, nine traded at the same price and only one traded at a lower price.

Fifteen government stocks traded on Monday and Tuesday as only one bond traded at a higher price than the last traded price, eight traded at the same price, while six traded at a lower price on the previous week.

The worst performers were the 5% MGS 2021(!) and the 5.2% MGS 2020(1), both losing over per cent on the week.

Four Treasury bills were traded this week with over €10 million traded in the 182 days Treasury bill 11.07.08-09.01.

The best performer of the week was FIMBank plc which traded on Monday and gained 6.96 per cent, its limit up level, to $1.476 as 140,300 shares were negotiated across nine deals. The share price of FIMBank plc lost 15.37 per cent in 2008.

The share price of Bank of Valletta plc was up 1.05 per cent this week, but ended the year at a loss of 48.8 per cent. On Monday, the share price appreciated by 1.05 per cent to €3.47 as 15,788 shares changed hands across 13 deals. On Tuesday the equity remained stable at €3.47 as 1,700 shares changed hands across four deals.

On Monday HSBC Bank Malta plc saw its share price recover some of last week's decline with an increase of 0.74 per cent to €2.72 as 10,032 shares were traded across eight deals. However, on Tuesday HSBC Bank Malta plc was the only negative performer of the day with a drop of 0.74 per cent to €2.70 as 6,570 shares changed hands across eight deals. This year the share price of HSBC Bank Malta plc fell by 42.05 per cent.

Also on Monday Lombard Bank Malta plc saw its share price decrease by 3.33 per cent to €2.90 when only 1,344 shares were negotiated across just two deals. However, on Tuesday the equity was the best performer as its share price appreciated by 3.45 per cent and closed at €3.00 on a single deal of 2,000 shares. The banks share price fell by 16.96 per cent in 2008.

RS2 Software plc regained its IPO price on Monday as its share price appreciate by 6.67 per cent to €0.80 as 21,100 shares changed hands across four deals. The equity, therefore, ended with no price movement in 2008.

On Tuesday the share price of Maltapost plc increased by 0.99 per cent to €0.818 as 9,909 shares were negotiated across eight deals. This increase enhanced the yearly gain of Maltapost to 63.6 per cent, which resulted as the best performer of 2008.

On Monday Go plc lost most ground as its share price lost 4.37 per cent to €1.75, as 1,900 shares were negotiated across four transactions. While on Tuesday Go plc saw its share price edge higher by 0.11 per cent to €1.752 as 3,390 shares were negotiated across three deals. The share price of Go plc fell by 44.29 per cent in 2008.

In all four listed companies ended the year with a positive performance. Besides Maltapost plc, Grand Harbour Marina plc, Plaza Centres plc, and San Tumas Shareholding plc all ended 2008 up 13.34 per cent, 10.83 per cent and 6.46 per cent respectively.

All other equities lost in value in what was a very negative year in the global equity markets. This is how the share price of the rest of the equities quoted on the MSE performed in 2008.

Globalcapital plc was the worst performer this year as its share price dropped by 64.46 per cent. Datatrak Holdings plc lost 37.70 per cent as its share price dropped from €0.305 to €0.19. The share price of Middlesea Insurance plc fell by 33.65 per cent. Another bad performance was by Simonds Farsons Cisk plc, which fell by 25.84 per cent.

International Hotel Investments plc saw its share price drop by 13.94 per cent whereas the share price of Malta International Airport plc fell by 22.24 per cent.

The share price of Crimsonwing plc dropped marginally as it lost 0.60 per cent to €0.497 and Medserv plc lost only 2.51 per cent as the equity closed the year at the price €3.997.

Finally, the share price of 6pm Holdings plc fell by 4.11 per cent ending 2008 at the price £0.70.

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.