RS2 and Mapfre Middlesea shares register double-digit gains

The Malta Stock Exchange (MSE) index extended January's 0.9 per cent gain by 1.82 per cent in February, to close at 4,553.802 points. Activity was spread across 22 equities of which 13 gained ground, five fell in value and four closed unchanged on a turnover of €10.8m.

RS2 Software plc shares rallied for the 12th consecutive month, having appreciated by €0.386 or 11.8 per cent, closing at a record high of €3.661. The I.T. equity was active on 152 deals of 881,371 shares.

Mapfre Middlesea plc shares more than erased January's losses, having advanced by €0.325 or 14.4 per cent across 32 trades of 40,750 shares, to close at €2.58.

In the banking sector, FIMBank plc shares were the only positive performers having recouped by 1.6 per cent as 36 transactions of 727,356 shares were struck, closing at $0.64. The Board of Directors of the bank is scheduled to meet on March 15, 2016 to consider and approve the Group's and the Bank's Audited Accounts for the financial year ended December 31, 2015 and to consider the recommendation of a dividend at the Annual General Meeting (AGM).

HSBC Bank Malta plc shares extended their losses by 3.6 per cent as 776,694 shares changed ownership, to close €0.062 lower at €1.669. The bank announced that the group registered a profit before tax of €46.8m for the year ended December 31, 2015, compared to €52.1m registered in 2014. On an adjusted basis, excluding the effect of non-recurring expenses for the early voluntary retirement provision, profit before tax was up €9m or 18 per cent on the previous year. Net interest income for the period under review amounted to €127m - a rise of 3.7 per cent from 2014. Earnings per share decreased to €0.082 from €0.093 in 2014.

The Board recommends a final gross dividend of €0.026 per share, which together with the interim dividend paid in September 2015, amount to a total gross dividend for the year of €0.077 per share, which represents a 20 per cent increase compared to 2014 dividend adjusted for the bonus share issue in April 2015. The final dividend will be paid to shareholders on the bank's register of shareholders at March 16, 2016.

Lombard Bank Malta plc shares stumbled by €0.20 or 8.3 per cent as 32,231 shares changed hands across eight transactions, closing at €2.20. Meanwhile, Bank of Valletta plc shares closed the month unchanged at €2.23 as 341 deals of 911,953 shares were negotiated.

The other non-movers were Simonds Farsons Cisk plc, Plaza Centres plc and Pefaco International plc shares having closed unchanged at €6, €1 and €2.24 respectively.

Elsewhere, Malta International Airport plc (MIA) shares oscillated between an all-time high of €4.76 and a monthly low of €4.30, to ultimately close the month 6.2 per cent higher at €4.60. The local airport operator's shares were executed across 134 trades of 212,231 shares.

MIA announced that Flughafen Wien AG, through the signing of a share purchase agreement to acquire SNC-Lavalin Group Inc. indirect stake in SNC-Lavalin (Malta) Limited, subject to the fulfilment of certain closing conditions by both parties - upon reaching financial closure Flughafen Wien AG will own in excess of 48 per cent of the total issued share capital of MIA.

Furthermore, MIA announced positive traffic results for the month of January 2016, with a 13.2 per cent increase in passengers over the same month last year and an 11 per cent growth during winter so far. London, Frankfurt, and Rome were January's top destinations, while the maximum take-off weight rose by 7.2%, and cargo and mail grew by 3.4%.

Profits for the financial year ending December 31, 2015 increased from €16.8m to €19.3m. This increase signals that the company is on the right path to proceed with the next stages of its ambitious investment plan for 2016 and beyond. The Earnings before Interest, Taxation Depreciation and Amortisation (EBITDA) of the group increased from €33.8m to €35.6m.

The Board of Directors approved a gross dividend of €0.107692 per share to be paid to all shareholders on the register of members as at close of business on April 4, 2016. This, together with the interim dividend already paid, shall be proposed to the shareholders for the financial year ended December 31, 2015, for a gross final dividend of €0.153846. The company's AGM is scheduled to be held on May 4, 2016.

GO plc shares strengthened by €0.12 or 3.8 per cent across 83 trades of 209,888 shares, to close at €3.31. The Group registered a profit before tax of €34.2m for the financial year ended December 31, 2015 compared to €13.7m registered in 2014. Revenue for the period under review amounted to €123.7m, a rise of 1.2 per cent over the previous year. Earnings per share soared to €0.261.

The Board of Directors shall recommend the approval of a final dividend of €0.10 net of taxation per share to all shareholders who are on the shareholders' register as at April 11, 2016.

Furthermore, the company announced that it has received a number of non-binding offers from interested offerors for the company's entire issued share capital, and is now in the process of evaluating such non-binding offers. In the coming weeks, GO shall grant all selected offerors access to information placed in the data room in accordance with the authorisation granted by the shareholders.

Malta Properties Company plc shares increased by 5.6 per cent as 410,105 shares changed ownership, to close €0.03 higher at €0.57.

Medserv plc shares partially erased the previous month's losses having gained 0.3 per cent over 57 transactions of 190,753 shares, to close at €1.65. The company announced that the request put forward by two International Oil Companies to extend the operating licence granted to Medserv (Cyprus) Ltd to operate out of the Larnaca Port was denied by Larnaca Local Council. Medserv will continue to service its clients out of Larnaca as per its current licence, expiring in August 2016. The Cyprus Port Authority has informed the International Oil Companies that its operations will be transferred to Limassol Port. Discussions are underway to ensure that this development will not hinder the prospects of the clients, the development of the Oil and Gas Industry in Cyprus, and Medserv (Cyprus) Ltd operation in Cyprus.

In a separate announcement, the company announced that it has completed the acquisition of the entire issued share capital of METS Holdco, which holds the entire issued share capital of METS UAE and METS Oman.

MIDI plc shares recouped by 2.9 per cent over 37 transactions of 892,040 shares, closing at €0.36. The Board of Directors of the company is scheduled to meet on March 28, 2016 to consider and approve the company's Audited Financial Statements for the financial year ended December 31, 2015 and to consider the recommendation of a final dividend at the company's AGM.

Malita Investments plc shares declined by 2.1 per cent as 14 trades of 200,790 shares were executed, closing at €0.93. Meanwhile, GlobalCapital plc shares fell by a further eight per cent as four deals of 4,135 shares were struck, closing €0.04 lower at €0.46.

Loqus Holdings plc shares increased by 8.3 per cent over two transactions of 2,636 shares, to close at €0.13. Similarly, 6pm Holdings plc shares rose by £0.06 or 8.6 per cent across seven trades of 39,051 shares, closing at £0.76.

International Hotel Investments plc shares fell by two per cent as 23 deals of 81,013 shares were executed, to close at €0.72, after falling to a low of €0.662 intra-month. Conversely, MaltaPost plc shares advanced by 2.1 per cent over 21 trades of 27,050 shares, closing at €1.96.

Similarly, Tigne Mall plc shares increased by 2.1 per cent. The equity was active on eight transactions of 22,000 shares, to close at €0.98.

Santumas Shareholdings plc shares increased by €0.05 or 2.3 per cent, after adjusting for the equity's one for every ten bonus share issue.  The equity was active on four trades of 6,591 shares and closed at €2.25.

In the corporate bond market turnover amounted to €3.95m spread over 42 issues of which 15 declined, 18 gained ground and nine closed unchanged. The 4.25% BOV € Notes 2019 Series 2 Tranche 1 headed the list of fallers having decreased by 5.5 per cent, to close at €104.01, while the 4.5% Izola Bank plc € Unsecured 2025 was the best performer having appreciated by 5.3 per cent, closing at €110.

During the month, BOV announced the issuance of Tranche 2 of the 3.5% Subordinated Notes maturing in 2030. The notes are subordinated and unsecured and will offer a coupon of 3.5% per annum. The bank is offering a subscription of a maximum nominal amount of €50m, split into two series - Series 1/2016 and Series 2/2016 which will be fungible with the First Tranches and therefore, identical to the First Tranches in all aspects except for the issue dates and interest commencement dates. The bond will be opening to the general public on March 14, 2016.

In the sovereign debt market 28 issues were active, of which 25 fell in value, while three increased marginally as turnover totalled €50.7m. The 4.3% MGS 2016 (IV) and the 4.8% MGS 2016 (II) were the most liquid issues having both witnessed a turnover of over €13m.

Two new Malta Government Stocks, namely the 1.5% MGS 2022 (IV) and the 2.5% MGS 2036 (I) were offered to the public in February at an issue price of €105 and €101.50 respectively, yielding 0.696 per cent and 2.408 per cent. The Treasury issued an aggregate of €120m and an over-allotment option of €80m - which shall be exercised in full. At the time of writing, the allocation policy was yet to be announced.