MSE Trading Report for Week ending 09 October 2020

MSE Equity Total Return Index:

Chart of the Week: Malita Investments plc 

Highlights:
  • The MSE Equity Total Return Indexregistered a further 2% decline, as it reached 7,140.962 points. Out of 18 active equities, four traded higher while another 10 closed in the red. A total weekly turnover of €0.6 million was generated across 123 transactions.
  • In the banking industry, all four equities were active. Yesterday, Bank of Valletta plc announced that it has been advised by Raiffeisen Bank International (Raiffeisen) that it is seeking to terminate its US$ correspondence relationship with the Bank with effect from March 31, 2021.
    • BOV are in discussions with Raiffeisen regarding the ongoing correspondent banking relationship supporting US$ payments with a view to satisfying any concerns and restoring the position.
    • BOV are also actively considering alternative routes to diversify the available channels for the payment of US$.
    • The equity reached a weekly high of €0.88 but lost track yesterday, as it closed at €0.854 – equivalent to a 0.7% weekly decline.
    • A total of 105,887 shares changed hands across 28 transactions, generating a total turnover of €91,640.
  • Its peer, HSBC Bank Malta plc lost almost 2%, as 40,140 shares were spread across eight transactions. The bank’s shares ended the week at the €0.745 price level.
  • On Tuesday, Lombard Bank Malta plc announced that the Annual General Meeting shall be held remotely on December 2, 2020. The equity traded 5.3% lower, to close the week at €1.80, as five deals involving 22,400 shares were executed.
  • On Thursday, Malta International Airport plc announced its September traffic results.
    • The airport registered a drop of 83.1%, when compared to the same month of 2019, with passenger movements totalling 128,664.
    • Aircraft movements and seat capacity decreased by 57.9% and 59.9%, respectively.
    • Seat load factor for the month also declined by 49.9% to stand at just 36.3%.
    • The top markets for the month of September were Austria (-55.4%), Germany (-71.4%), France (-73.1%), Italy (-83.1%) and UK (-89.2%).
    • September brought quarter three to a close with a 77.6% contraction in passenger traffic when compared to the same period in 2019.
    • Within this three-month period, peak recovery levels were observed in August – particularly in the first two weeks of the month – with passenger numbers increasing by 64.9% over July 2020.
    • The introduction of Malta’s amber list together with other travel restrictions led to a downward trend in the second half of August, which persisted in September.
    • Traffic during the final month of the quarter, was approximately half of the traffic registered in August.
    • In the first week of October, Airports Council International published an updated passenger traffic forecast for European airports, which indicates that 2020 will end with a loss of 1.69 billion passengers translating into a drop of 69% over 2019.
    • The equity closed at a six-month-low-price of €4.52 – translating into a 1.7% weekly change.
    • A total of 21 deals involving 13,950 shares were executed, on a weekly turnover of €63,899.
  • The highest liquidity was recorded by RS2 Software plc, as a total turnover of €186,769 was generated across 20 transactions.
    • On Thursday, the equity reached a four-year-intra-day-low price of €2.12 but managed to recover as it closed unchanged at €2.20.
    • A total of 84,983 shares changed hands.
    • On a year-to-date perspective, the equity is up by 2.8%.
  • A sole deal of 5,400 Malita Investments plc shares resulted into a positive 0.6% movement in price. The equity ended the week at the €0.90 price level and is flat on a year-to-date basis.
  • Yesterday, Simonds Farsons Cisk plc held its 73rd Annual General meeting.
    • The shareholders approved the income statement and statement of financial position for the year ended January 31, 2020 and the reports of the directors and auditors.
    • The equity traded twice over slim volume, leaving no impact on its previous week’s closing price of €7.20.
  • On Monday, Mapfre Middlesea plc announced that the 39th Annual General Meeting shall be held on October 27, 2020.
    • The financial statements for the year ended December 31, 2019, and the reports of the directors and auditors thereon shall be considered and approved.
    • The directors’ recommendation that no dividend will be paid shall also be approved.
    • The equity was active but closed unchanged at €2.00. Three deals involving 1,339 shares were executed.
  • Yesterday, Mesderv plc announced that it has been awarded a contract by Eni North Africa (EniNa) to provide logistics marine base and associated services in Malta for its oil and gas activities taking place offshore Libya.
    • The term of the contract is three years with the option for EniNa to extend for a further year.
    • This contract comes into effect on January 1, 2021. These services are to be carried out at the Company’s base situated in the Malta Freeport.
    • The equity headed the list of fallers with a double-digit decline of nearly 22%.
    • Six deals involving 178,600 shares were executed, dragging the price to €0.48, at which it closed.
  • On Thursday, Plaza Centres plc announced that the company purchased a total of €150,000 in the 3.9% unsecured bonds maturing in 2026, between September 25, 2020 and October 1, 2020.
    • The said bonds shall be cancelled forthwith and may not be re-issued or re-sold.
    • The equity was not active during the week.
  • On Thursday, GlobalCapital plc announced that it intends to file an application with the Listing Authority of the Malta Financial Services Authority requesting admissibility to listing of €10,000,000 unsecured bonds. Subject to approval, the net proceeds from the new bond will be used by the issuer to redeem the €10,000,000 5% unsecured bonds 2021.
    • The issuer will be giving preference to holders of the maturing bond to subscribe to the new bond limited to their holding in the maturing bond.
    • Any additional bonds applied for exceeding in value the aggregate nominal value of maturing bond held by them will rank pari passu, with other applications submitted by other bondholders without priority or preference, in accordance with an allocation policy to be announced in due course, subject in all cases to regulatory approval of the proposed new bond issue.
    • No trading activity was recorded during the week.
  • The MSE MGS Total Return Index registered a further 0.35% increase, as it reached 1,140.06 points. Out of 22 active issues, 13 headed north while another five closed in the opposite direction. The 4.1% MGS 2034 (I) headed the list of gainers with a 1.4% movement in price, as it closed at €146.00. Conversely, the 2.5% MGS 2036 (I) closed 1.1% lower, ending the week at €135.50.
  • The MSE Corporate Bonds Total Return Index managed to recoup some lost ground, as it closed 0.14% higher at 1,073.17 points. A total of 50 issues were active, 14 of which advanced while another 15 lost ground. The 4% Stivala Group Finance plc Secured € 2027 registered the best performance, as it closed 1.9% higher at €102.00. On the other hand, the 4.25% GAP Group plc Secured € 2023 declined by 2.8%, to close at €101.10.
  • In the Prospects MTF market, two issues were active, one of which closed unchanged while the 5% Luxury Living Finance plc € Secured Bonds 2028 closed marginally higher at €99.96.

 

Upcoming Events
Best Performers:
1. TRI+3.45%
14 OCT 2020MT: Plaza Centrs plc – Annual General Meeting2. HRV+1.38%
15 OCT 2020MT: PG plc – Annual General Meeting3. MPC+0.82%
22 OCT 2020MT: Santumas Shareholdings plc – Annual General Meeting
27 OCT 2020MT: Mapfre Middlesea plc – Annual General MeetingWorst Performers:
11 NOV 2020MT: Malta International Airport plc – Annual General Meeting1. MDS-21.95%
2. MSC-8.16%
3. GO-6.25%

 

 

 

Price (€): 09.10.2020Price (€): 02.10.2020Weekly Change (%)2020 Performance (%)
MSE Equity Total Return Index7,140.9627,276.329-1.86-25.74
BMIT Technologies plc0.4600.470-2.13-11.54
Bank of Valletta plc0.8540.860-0.70-19.43
FIMBank plc (USD)0.3000.3000.00-50.00
GlobalCapital plc0.5300.5300.0089.29
Grand Harbour Marina plc0.7000.7000.0027.27
GO plc3.0003.200-6.25-29.58
Harvest Technology plc1.4701.4501.38 -2.00
HSBC Bank Malta plc0.7450.760-1.97-42.69
International Hotel Investments plc0.4900.520-5.77-40.96
Lombard Bank plc1.8001.900-5.26-21.05
Loqus Holdings plc0.0650.0650.000.78
MIDI plc0.3660.3660.00-32.22
Medserv plc0.4800.615-21.95-56.36
Malta International Airport plc4.5204.600-1.74-34.49
Malita Investments plc0.9000.8950.560.00
Mapfre Middlesea plc2.0002.0000.00-7.41
Malta Properties Company plc0.4940.4900.82-21.59
Main Street Complex plc0.4500.490-8.16-25.00
MaltaPost plc1.0401.0400.00-20.61
PG plc1.8801.890-0.532.17
Plaza Centres plc1.0001.0000.00-0.99
RS2 Software plc2.2002.2000.002.80
Simonds Farsons Cisk plc7.2007.2000.00-37.39
Santumas Shareholdings plc1.4901.4900.005.67
Tigné Mall plc0.7950.7950.00-11.67
Trident Estates plc1.5001.4503.45-3.23

* Trading commenced on January 7, 2020

This article, which was compiled by 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 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 Limited at 67, Level 3, South Street, Valletta, or on Tel: 21224410, or email [email protected]