FACTS FOR INVESTORS.

Auckland Star, Volume LIX, Issue 124, 28 May 1928, Page 4

FACTS FOR INVESTORS.

DALGETY AND COMPANY, LTD

In its weekly analyses of potential investments, '"The Financial Times" refers in a highly favourable manner to Dalgety and Company, Limited, which was registered on April 29, 1884, to acquire the Australian merchant business of Dalgety, Du Croz and Company in London, and of Dalgety, Blackwood and Company, Dalgety, Ibbotson and Company, and Dalgety and Company in Australia and New Zealand. The combined undertaking has exercised a powerful influence in fostering enterprise by financing dealings in land, crops, live stock, wool and a variety of primary products. "Its history may accordingly be taken as a barometer to a certain extent of Australian and New Zealand industrial development as a whole, while its intimate connection with London has placed the concern in the position of an Imperiad trade artery," says the '"tinancial Times." "The company's record all along has shown how the prosperity of some branches of operations have compensated for depression elsewhere, and how the firm, as a consequence, has managed to pursue a steadily prosperous career.'' Up to the beginning of last year the subscribed share capital had remained unchanged since 1909 at £4,500,000, but about a year ago the amount was increased to £6,500,000 by the creation of 100,000 new ordinary shares of £20 each, an issue which was a complete success. Dalgety and Company's shares have proved atttractive to investors in New Zealand, and probably the shares would be more widely held if they were split into £1 shares,, now so much favoured by joint stock companies. BANK OF AUSTRALASIA. At the extraordinary general mooting called to authorise the issue of 100.000 additional shares in the Bank of Australasia the chairman (Mr. C. G. Hamilton) said, inter alia: —

Since we last issued any new capital our deposits have increased by over £s.Bt>:).oo'J, our advances have increased by over £6,.T00,000, our total balance-sheet figures have_ gone up from about £37.900.000 to £44,595,000, the demand for adv lIK'OS IS still incessant, and our superintendent advises us that lie can easily employ the fresh capital we propose. to raise safely and at remunerative rates. J want to assure you that the directors are not seeking to raise more capital for the purpose of fostering speculation in town or country properties. We are entirely opposed to such a use of our money. The new capital is required for legitimate trade purposes. If you authorise us to issue 100,000 moi e shares and the directors issue them at £11 per share, as foreshadowed, it will give us £1,100,000 mote cash capital. At £11 per share, when the new capital ranks for dividend, and assuming we continue to P®y « per cent free of income tax. every shareholder who takes up his alloment will be getting an investment which will return him over £6 6/ per cent free of tax —a very fine return, having regard to the strength and reputation of the Bank of Australasia.