The Malta Independent 18 November 2018, Sunday

Monthly Round up report for October Local equity index up and global equities plummet in October

Thursday, 8 November 2018, 10:50 Last update: about 10 days ago

The MSE Equity Total Return Index added on to September's 2.508% gain, having advanced by 1.507% in October, to close at 8,858.523 points. The gains registered on the local exchange contrasted with sharp falls in the international equity markets which registered declines ranging from 3% to 8%. Locally, turnover amounted to €7.7m, and was spread across 23 equities, of which 13 fell and 10 gained ground.

Midi plc shares rallied by 28.3% as 87 trades worth €769,506 were negotiated, to close €0.16 higher at €0.725. The property management company's shares have soared by a significant 107.1% as at year-to-date.

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Reports in the local media suggested that a preliminary deal between Midi and Tumas Group has been struck, in which the latter shall be taking over the Manoel Island Project, by purchasing at least 60% shareholding of a new company to be set up with Midi as a joint venture. The company responded by informing the market that no preliminary agreement has been entered into and insisted that although discussions are ongoing, these may or may not result in a transaction. Any material updates will be communicated in accordance with regulatory requirements.

Malta Properties Company plc shares declined by 3.8% across 67 deals of 750,765 shares, closing at €0.505. Meanwhile, Malita Investments plc shares increased by 1.2% as 288,462 shares changed ownership over 30 trades, to close at €0.88.

Trident Estates plc shares decreased by 1.5% as 24 transactions of 58,964 shares were executed, to close the month at €1.32.

Bank of Valletta plc (BOV) shares oscillated between a monthly high of €1.45 and a low of €1.30, to ultimately close at €1.34. The bank's shares were active on 327 trades worth €1.65m, and registered a €0.11 or 7.6% loss ‒ down by 25.6% from the beginning of the year.

BOV provided an update to the market in relation to the La Valette Multi Manager Property Fund cases. The board of directors announced that the bank and its relevant subsidiaries, have filed their appeals before the court of appeal from the decisions delivered by the Arbiter for Financial Services with regards to these cases where the Arbiter ruled in favour of the claimants.

HSBC Bank Malta plc shares increased by 2.9% across 84 transactions of 258,930 shares, closing €0.05 higher at €1.80.

FIMBank plc shares stayed faithful to their recent winning streak, having registered an increase for the fourth consecutive month. The trade finance bank's shares appreciated by 12.5% in September and 19.1% in October, to close $0.12 higher at $0.75. Activity in the bank's shares was spread over 95 deals of 1.2 million shares.

Lombard Bank Malta plc shares decreased by 0.8%, as 13,000 shares changed hands over four trades, closing at €2.40.

The telecommunications services provider GO plc, recorded an 8.8% advance in its share price, to close €0.32 higher at €3.96 ‒ up by 11.6% as at year-to-date. GO shares witnessed 102 transactions of 263,403 shares.

GO announced its intention of an initial public offering of shares in BMIT Technologies plc. The company announced that subject to an Extraordinary General Meeting approval on 3 December, GO will be seeking to dispose of up to 49% of its shareholding in BMIT, formerly known as GO Data Centre Services Limited. The core business of BMIT is primarily carried out through four companies, enabling it to offer its customers a complete suite of data centre centric services, including hosting and managed services, as well as a range of cloud services. The Group also specialises in the design, implementation, support and optimisation of ICT solutions for the corporate sector.

The value of gross assets attributable to the Group amount to €15.8m, generating a profit after tax of €4.1m for 2017. GO is seeking to raise up to €49m, through the disposal of the shares.

Malta International Airport plc (MIA) shares closed in positive territory for the fourth consecutive month, having increased by €0.15 or 2.5%, to close at €6.20. The local airport operator's shares traded at a record high of €6.40 in October.

MIA published its traffic results for September, closing a positive peak holiday season with 706,814 passenger movements during the month. This translates to a 12.8% upturn over the same month last year, which can be attributed to a 12.5% increase in aircraft movements and a 14.1% increase in seat capacity. This brought the total figure for the quarter to a record breaking 2.2 million passenger movements. In line with previous months, the UK topped the list of MIA's top markets, followed by Italy, Germany, France and Spain.

The investments and insurance services provider, GlobalCapital plc registered a 2.3% advance in its share price. The equity was executed across six deals of 10,049 shares and closed at €0.262 ‒ down by 16% as at year-to-date.

In the same sector, Mapfre Middlesea plc shares appreciated by €0.09 or 4.9% over 13 transactions of 63,104 shares, closing at €1.92.

MaltaPost plc shares declined by 1.8% as 25,186 shares changed ownership across 12 trades, to close €0.03 lower at €1.62. The postal services operator announced that the board of directors will meet on 17 December to consider and approve the financial statements for the year ended 30 September.

Loqus Holdings plc (Loqus) shares headed the list of fallers, having slipped by 11.2% over 10 deals of 82,408 shares, closing at €0.075. The IT services provider registered a 57.1% loss in its share price as at year-to-date.

Loqus published the financial statements for the financial year ended 30 June, which are still subject to Annual General Meeting approval. The results show an increase in the Group's profit for the year of 33%, to €642,042. This was partially the result of an increase in revenue from €3.5m in the year ending in 2017, to €3.9m in 2018.

RS2 Software plc shares closed in the red for the fourth consecutive month, having declined by 3.4%. The IT equity was negotiated across 38 transactions of 191,916 shares and closed €0.04 lower at €1.14 ‒ down by 26% as at year-to-date.

The retail and supermarkets owner PG plc, registered a 1.4% loss in its share price, as 125,604 shares changed hands over 19 trades, to close at €1.38. PG held its AGM on 18 October, during which the shareholders approved the financial statements for the financial year ended 30 April and re-appointed PricewaterhouseCoopers as auditors of the company. As the Articles of Association provide that the first directors shall hold office for a period of three years before retiring by rotation, no election of directors was held, and the composition of the Board remained unchanged.

International Hotel Investments plc (IHI) shares fell by 5.4% as 11 deals of 30,639 shares were concluded, closing €0.035 lower at €0.61.

Tigne' Mall plc shares decreased by €0.04 or 4.2% across 11 transactions of 68,833 shares to close at €0.92. Meanwhile, Plaza Centres plc shares advanced by 2% over 18 trades of 171,225 shares, closing at €1.02.

In the same sector, Main Street Complex plc shares slipped by a minimal 0.8%, as nine deals of 108,800 shares were executed, to close at €0.65.

The oil and gas logistics services provider Medserv plc, registered a 6.4% loss in its share price. The equity witnessed 18 trades of 63,938 shares and closed €0.07 lower at €1.02 ‒ down by 19% as at year-to-date.

Simonds Farsons Cisk plc shares advanced by 3.9% over 29 transactions of 45,004 shares. The food and beverage supplier's shares closed €0.30 higher at €8.

Santumas Shareholdings plc shares declined by €0.06 or 4.3% as one deal of 222 shares was concluded.

In the corporate bond market, 52 issues were active, of which 16 advanced and 26 fell. Turnover amounted to €7.2m. The 4.25% GAP Group plc Secured € 2023 was the most liquid issue, having witnessed 32 deals worth €776,562, closing 0.05% higher at €104.99.

The 5.75% IHI Unsecured € 2025 was the worst performer, having declined by 3.1%, closing at €107. Meanwhile, the 5% Hal Mann Vella Group plc Secured Bonds € 2024 headed the list of gainers, having appreciated by 2.9%, to close at €107.

In the sovereign debt market, turnover totalled to €25.7m, spread across 26 issues. Gainers and losers tallied at 13. The 5.25% MGS 2030 (I) was the most heavily-traded issue, having witnessed a turnover of €6.7m, closing 0.2% higher at €138.09.

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 of 67 Level 3, South Street, Valletta on 2122 4410; email [email protected]


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