MSE down marginally in January
The MSE Equity Total Return Index partially erased December's 2.691% increase, having declined by 0.365%, to close at 8,637.505 points. Turnover almost doubled from €4.8m to €8.1m as activity was spread across 23 equities of which 14 fell and eight gained ground.
HSBC Bank Malta plc shares registered a decline for the fourth consecutive month. The equity oscillated between a monthly high of €1.80 and a low of €1.71 on 79 trades of 175,394 shares and ultimately closed 0.2% lower at €1.78. The bank announced that the Board is scheduled to meet on 20 February to approve the Group's and the bank's final audited accounts for the financial year ended 31 December 2017 and to consider the declaration of a final dividend to be recommended to the bank's Annual General Meeting (AGM) to be held on 12 April.
FIMBank plc shares were negotiated across four transactions of 14,300 shares. The trade finance bank partially erased December's 12.2% gain in its share price, having decreased by 1.5%, to close at $0.68.
Bank of Valletta plc shares added on to December's 2.9% gain having increased by a minimal 0.6% over the highest turnover of €5.3m spread over 479 deals of 2.9m shares, closing at €1.81.
Lombard Bank Malta plc shares closed unchanged at €2.30, despite having reached a monthly high of €2.38. The bank's shares were negotiated across five deals of 11,799 shares.
The investments and insurance services provider GlobalCapital plc registered a 21.8% rally in its share price as 32,125 shares changed ownership across four trades, closing €0.068 higher at €0.38.
In the same sector, Mapfre Middlesea plc shares declined by 0.1% over 20 transactions of 39,922 shares, to close at €1.78. The company announced that its board of directors is scheduled to meet on 8 March in order to consider and approve the company's audited financial statements for the year 2017, and also to consider the declaration of a dividend, if any, that would be recommended to the Annual General Meeting.
Simonds Farsons Cisk plc (SFC) shares fell for the third consecutive month having dropped by €1.02 or 12% as 30 deals of 20,357 shares were executed, to close at €7.50.
SFC's spin-off company Trident Estates plc's (TRI) shares were admitted to listing on the Official List of the MSE on 30 January and commenced trading 31 January. As stated in the prospectus dated 18 December, the company will be seeking financing through a rights issue of 15 million new ordinary shares of €1 planned for 2019. The company announced that it has secured loans with a leading local bank, meaning that the Trident Park Project can commence.
TRI shares were active on 17 transactions of 83,396 shares and closed 23.4% higher than its initial set price of €1.24, at €1.53.
Malta Properties Company plc shares extended December's 2.6% increase having advanced by 7.3% across 33 trades of 190,881 shares, closing €0.035 higher at €0.515.
In the same sector, Malita Investments plc shares added to December's 9.2% gain having climbed 3.1% over 13 deals of 85,750 shares, to close at €0.845. The company announced that a Board meeting will be held on 5 March to consider and, if deemed appropriate, approve the company's financial statements for 2017. During the said meeting, the Board shall consider the payment of a final dividend. The company further announced that the next AGM will be held on 27 April.
Midi plc shares erased its previous 1.5% increase, having declined by 2.9%, closing at €0.34. The property management company's shares were negotiated across 27 trades of 704,159 shares.
The shopping mall Plaza Centres plc's shares were active on eight transactions of 39,800 shares. The equity reversed December's 7.8% gain, having slipped by 6.4%, to close €0.07 lower at €1.02.
Tigne Mall plc shares fell by 3.6%, after having gained 12.3% in December as 39,130 shares changed ownership over five trades, closing €0.039 lower at €1.05.
Malta International Airport plc (MIA) shares increased by 3.4%, adding to the previous 1.1% increase. The local airport operator's shares were executed across 60 deals of 67,187 shares, to close €0.16 higher at €4.86. MIA announced its traffic forecast for 2018, it expects to register further growth in the coming year to reach the figure of 6.5 million passengers. In a press conference, the company also announced that during 2017, an upturn of 17.5% in passenger movement was recorded. The seat load factor for the year remained at a healthy 82.4%, in line with the European trend. The airport also revealed that more than 16 new routes will feature in 2018.
This year will be busy for the company in terms of infrastructure developments, particularly the Terminal Reconfiguration Project. Furthermore, another €8.8m shall be invested in the airport infrastructure. The CEO presented the financial targets for the year, including total revenue which is expected to reach over €87m and net profit projected to over €28m.
The Board of MIA is scheduled to meet on 21 February to consider and approve the financial statements for the financial year ended 31 December 2017. The Board shall also consider whether to declare and recommend to the shareholders for the payment of a dividend.
RS2 Software plc shares dropped by 5.8%, after their previous 1.3% increase, as 502,866 shares exchanged hands over 97 trades, closing €0.09 lower at €1.45. In the same sector, Loqus Holdings plc shares registered the worst performance having stumbled by 37.1% across four deals of 29,443 shares, to close €0.065 lower at €0.11.
Santumas Shareholdings plc shares increased by 0.7% over 13 transactions of 65,067 shares, closing at €1.51.
Medserv plc shares slipped by 2.3%, after having registered a 12.3% rally in December. The oil and gas logistics services provider's shares witnessed 20 trades of 58,735 shares, to close at €1.23. The company announced that it has won a tender for a three-year contract, with the possibility of further extension, to provide the integrated logistics support services to the offshore operations being conducted by an international oil company. The initial value of the contract is estimated at over €10m, with the possibility of future growth. Both companies involved in the deal have agreed not to disclose further details at this stage since there are still ongoing discussions with third parties that could affect the expansion process of the project.
PG plc shares declined for the third consecutive month, having decreased by 0.7% in January. The retail and supermarkets owner's shares were negotiated across 26 deals of 109,622 shares, closing at €1.39.
The telecommunications services provider GO plc decreased by 0.8% over 32 transactions of 55,387 shares, to close at €3.52. The company announced that following its decision not to participate in the convertible bond loan issued by Forthnet S.A. on 11 October 2016 the company's percentage shareholding in Forthnet has declined. GO now directly holds 15.19% of Forthnet's issued share capital, as opposed to the 22.605% which it owned prior to the convertible bond loan. The company has informed both Forthnet and the Hellenic Capital Market commission about this change which resulted from an increase in the issued share capital of Forthnet.
MaltaPost plc shares swayed between a monthly high of €2.04 and a low of €1.91 ‒ at which it closed. The local postal services operator's shares were executed over six trades of 6,799 shares and registered a €0.21 or 9.9% loss.
Grand Harbour Marina plc (GHM) shares edged 0.4%, after having increased by 5.1% in the previous month. GHM shares were active on eight transactions of 75,647 shares and closed at €0.76.
International Hotel Investments plc (IHI) shares climbed by a further 2.1%, adding to the 7.9% rally in December. The hoteliers' equity witnessed 19 deals of 75,676 shares, closing at €0.64. IHI announced that further to the company announcement issued on 28 August 2017 and the circular to shareholders and bondholders dated 7 September 2017, the merger of Island Hotels Group Holdings plc (IHGH) with IHI has become effective as of 29 December 2017. In consequence, the outstanding bond issued by IHGH will be renamed 6% International Hotel Investments plc 2024 while retaining the current ISIN - MT0000481227.
In the corporate bond market 51 issues were active of which 18 gained ground and 23 fell. Turnover totalled €7.4m. The 4.9% Gasan Finance Company plc 2019-2021 was the best performer having advanced by 2.1%, to close at €104.70, while the 5.8% IHI 2023 headed the list of fallers having decreased by 3.2%, closing at €104.02.
In the Prospects MTF market, three issues were active, none of which registered a price movement except for the 5.25% Klikk Finance plc Unsecured 2027 which was down by 5.66% after a lengthy period of inactivity.
In the sovereign debt market turnover amounted to €18.8m spread across 26 issues of which 23 declined and three advanced. The 7.8% MGS 2018 was the most liquid issue having witnessed a turnover of €6.5m, closing 0.6% lower at €103.58.
This article, which was compiled by Jesmond Mizzi, managing director of 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 Firm 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 at 67 Level 3, South Street, Valletta, or on Tel: 2122 4410, or email [email protected]