NEW ZEALAND SHIPPING COMPANY.

Auckland Star, Volume XLI, Issue 166, 15 July 1910, Page 6

NEW ZEALAND SHIPPING COMPANY.

SHARP BISE IN SHARES. (By Telegraph.—Own Correspondent.) CHRISTCHURCH, Thursday. Nothing very definite is 'known dn shipping or financial circles as to tho cause or causes in the increase in the price of the N.Z. Shipping Company's shares, to which reference was made in a cable message, published on Wednesday. A reporter who made inquiry learned that the bulk of the shares bought locally had been bought for London operators, and one of the reasons assumed for the activity displayed in 1 the New Zealand Shipping Company's shares is the anticipation that the company will declare a dividend at a trgher rate than that paid for some years past. Another reason adduced is that possibly the New Zealand Shipping Company's shares have increased in value in sympathy with those of the Shaw, Savill, and Albion Company. Nothing is known locaUy, apparently, why these last-men-tioned shares have appreciated, and failing any definite information- on the subject it is surmised that there is possibly some large scheme for the amalgamation of interests in lines engaged in the New Zealand shipping trade. Of this there is, however, no outward sign. It is interesting to note the manner in which the company's shares have gradually increased in price. On July 8, 1909, they were quoted at £6 17/6 (12 months i previously they were £6 10/) ; in October, 1909, they were at £7 2/6; in February, 1910, £7 15/; in March, £7 17/6; in April, £8; in June, £8 5/, and this week the quotation was £10 5/. It is understood that there are not many shares offering locally. Mr. C. V. Houghton, manager of the New Zealand Shipping Company at Auckland, interviewed by a "Star" reporter, expressed the opinion that there was nothing surprising in the increased value of the company's shares. "The company's dividends," he said, "are equal to five per cent on the paid-up capital of £10 per share. No doubt that is thought to be a very fair investment, considering the plethora of money at Home, and the fact that the oompany is now in a very sound financial position, and has a very fine fleet of steamers employed in good trades. It is not necessary to suppose that any amalgamation on absorption is contemplated. The company's shares appear to be a very good investment, and were previously too low."