AUSTRALIAN LOAN CONVERSION.

Press, Volume LXIX, Issue 20909, 17 July 1933, Page 9

AUSTRALIAN LOAN CONVERSION.

UNDERWRITING COMPLETED. i LONDON, July 15. The underwriting of the conversion loan has been completed and the prospectus issued. Those who do not convert will be paid off on October 15. Cash subscriptions will be utilised only to the extent of I the unconverted balance. The yield, i allowing for redemption in 1948. will be 32s per cent. NEGOTIATIONS FOR STILL BIGGER SCHEME. REPORT FROM SYDNEY. SYDNEY, July 15. The "Daily Telegraph's" Canberra correspondent says negotiations with London for the conversion of the full amount of Australia's £32,000,000 6 per cent, optional stock were proceeding at a late hour last night. This followed the cabled announcement that the £17,000,000 would be underwritten., probably at 4 per cent.

DETAILS OF PRESENT CONVERSION. GOOD RECEPTION EXPECTED. (bjutisii offjma:. wireless.; RUGBY, July 14. Under the Australian debt conversion operation about £17,000,000 of Australian State debts will bj replaced by a similar amount of a new security of the Commonwealth, bearing 4 per cent, interest. The stock will run for a maximum of 15 years, with the option of redemption after 10 years. The issue price is £99. "The Times" says the loan will meet with a good reception because the economic and financial affairs of Australia have undergone a marked improvement in the last 12 months. A fact of outstanding importance is that the price of Australian products is now about 25 per cent, higher than a year ago. In the case of wool tops the advance is more than 30 -per cent. The rise has not been brought about by any depreciation in currency, j which has remained stable in terms of sterling throughout the whole period.