FREEZING-WORKS SALE

Press, Volume LXXVIII, Issue 23804, 25 November 1942, Page 2

FREEZING-WORKS SALE

CONTROL OF OCEAN BEACH ENGLISH COMPANY’S PURCHASE The sale of a large holding of shares in the Ocean Beach Freezing Works to the Wholesale Co-operative Society of Great Britain is now certain. Questioned in Christchurch last evening, the Minister of Agriculture (the Hon. J. G. Barclay) declined to make any comment on the reports that the virtual sale of the works, was about to be approved by the Government, his only comment being that a statement would be issued within the next few days. Although the Ocean Beach works will pass, for practical purposes, to British ownership, the works at Kaiapoi of the North Canterbury Freezing Company are unlikely to be affected by the sale. The Kaiapoi works came into the general discussion, because Mr Arthur Sims, formerly of Sims, Cooper, and Company, is the principal shareholder in the Ocean Beach Company and is also a substantial shareholder in the North Canterbury Company. He is reported to have rejected offers by interests other than the Wholesale Co-operative Society to purchase his interest in both concerns. The basis on which the deal has b£en made is that Mr Sims will sell 50 per cent, of his shareholding in the works; a small holding is held in the family. The disclosure of the full terms of the transfer of shares will probably show that, five years from now, the Co-operative Wholesalers’ Society may acquire a further holding equal to 12J per cent, of the whole share issue or that, if Mr Sims so desires, the remaining shares shall be taken over. The Co-operative Wholesale Society, which has a very large distributing business throughout the. United Kingdom. purchased the Longburn works in the North Island some years ago, and it has been a substantial buyer of meat from the Ocean Beach works for some years. Objections were made to the sale proposals by Southland producers, one of their representations being that ownership of the works should not be transferred to a company which did not possess existing works in the South Island, and, as a result, the Meat Producers’ Board advised the society that the tentative approval of purchase given could not be taken as definite, as the South Island members and the electoral committee were considering the matter. Both Thomas Borthwick and Sons (Australasia), Ltd., and the Canterbury Frozen Meat Company were reported during the discussions as being anxious to buy the Ocean Beach works. MINISTER APPROVES TRANSFER TO ENGLISH COMPANY (PA.)' INVERCARGILL, Nov. 24. •On the unanimous recommendation of the New Zealand Meat Producers’ Board, the Minister of Agriculture (the Hon. J. G. Barclay) has approved of the transfer of a part interest in the Ocean Beach freezing works to the Cooperative Wholesale Society of Great Britain. Advice to that effect has been received from the Minister by Mr A. L. Adamson, secretary of the Southland executive of the Farmers’ Union. It is understood, however, that negotiations between New Zealand interests and the present owner, Mr Arthur Sims, of London, have been opened recently, and that there is still a possibility that an agreement may be reached. ________________