MSE | Wednesday, 04 June 2008

A session predominantly in the red

GlobalCapital Financial Management Ltd - Malta Stock Exchange Review

Yesterday, the local market raised the red flag again, held back by a fall in most of the stocks traded to close the session at 4209.41 points, down 0.56 per cent or 23.82 points. Trading was primarily concentrated around the banking sector. Bank of Valletta p.l.c., HSBC Bank Malta p.l.c. and Lombard Bank Malta p.l.c. suffered a setback. Meanwhile, no gainers were recorded.
Large-cap Bank of Valletta p.l.c. pegged down to lower levels at €4.70 (LM2.018), down €5c0 (LM0.021) across 4,950 shares. The lowest traded price during the session was €4.70 (LM2.018), whereas the highest traded price of the day was €4.747 (LM2.038). Week on week, Bank of Valletta p.l.c. shares surrendered a notable 3.1 per cent from its closing price of €4.85 (LM2.082) on Tuesday 27 May.
Market heavy weighted, HSBC Bank Malta p.l.c. shares had a rather slow session. A total of 1,500 shares that were swapped in three trades brought the price down by €2c0 (LM0.009) at €3.80 (LM1.631). At the end of trading, bids for 500 shares stood at €3.77 (LM1.618), whereas the best offer for 3,394 shares stood at €3.82 (LM1.64). The total turnover of the week amounted to 72,601 shares and exchanged across sixty-eight trades.
On even lower volume, GO p.l.c. witnessed a decline. The share price succumbed by €3c9 (LM0.017) to settle at the €2.70 (LM1.159) level across 750 shares. The price shifted in a very tight range of €2.70 (LM1.159) to €2.701 (LM1.160).
Lombard Bank Malta p.l.c. shares were also hit. The share price tumbled €5c0 (LM0.021) to finish the second session of the week at €3.00 (LM1.288). These shares were exchanged across a single transaction. At market close, best unsatisfied bids stood at €2.55 (LM1.095) for 700 shares against best offers of 8,900 shares at €3.073 (LM1.319). Week on week, Lombard Bank Malta p.l.c. shares lost 3.85 per cent from its closing price of €3.12 (LM1.339) on Tuesday 27 May. Yesterday, Lombard Bank Malta p.l.c. announced that on 8 May 2008 an additional 533,296 Ordinary Shares of €0.25 each were admitted to listing on the Malta Stock Exchange. This addition was in respect of the Scrip Dividend approved at the Annual General Meeting held on 24 April 2008. The Issued and Paid Up Share Capital is now therefore made up of 35,048,208 Ordinary Shares of €0.25 each all of which carry the same voting rights.
On the insurance front, Middlesea Insurance p.l.c. was another equity that closed on the back foot. The share price withdrew €2c0 (LM0.009) at €3.41 (LM1.464). Middlesea Insurance p.l.c. was the most liquid stock of the day as 14,806 shares were traded across two deals. These shares carried a market value of €50,488.46 (LM21,674.70).
Simonds Farsons Cisk p.l.c. left it till deep in the session to commence trading. The share price finished unchanged at €2.71 (LM1.163) across 5,100 shares. On Friday 30 May, Simonds Farsons Cisk p.l.c. announced that during the financial period commencing 1 February 2008 and the date of this announcement, no material events and / or transactions have taken place that would have an impact on the financial position of the Holding Company and its controlled undertakings, such that they would require specific mention, disclosure or announcement pursuant to the applicable Listing Rules. Following the abolition of the derogation in respect of packaging regulations relating to carbonated beverages in December 2007, the now fully liberalized market has seen a large influx of imported beverages at low pricing positions. The fierce and stiff competition is expected to continue, and the Company has strategies to combat this development. The Board remains satisfied with the performance of all other segments of the Group, in particular the operations of the franchised food retailing establishments.
Furthermore, FIMBank p.l.c. and Malta International Airport p.l.c. followed suit. Their share price traded sideways without affecting their previous session close at $1.889 and €3.12 (LM1.339) respectively. GlobalCapital p.l.c. shares are currently trading at €2.85 (LM1.224).
Following a company announcement issued by International Hotel Investments p.l.c. on Tuesday 3 June, the said Company announced that in May 2008, it has increased its share capital through the issue and allotment of 16,112,854 Bonus Shares approved at the Annual General Meeting held on 15 May 2008. As a result of this increase, the issued Share Capital of IHI as at the end of May 2008 stood at 553,212,831.
In the fixed interest market, a total of €144,714 (LM62,125.72) (11 Deals) were transacted in Government Bonds, whereas a total of €29,645 (LM12,726.60) (10 Deals) were transacted in Corporate Bonds.
The turnover value in the Treasury Bill secondary market amounted to €883,892 (LM379,454.84).