COMMERCIAL

Press, Volume LXXXIV, Issue 25437, 8 March 1948, Page 8

COMMERCIAL

STOCK EXCHANGE WEEK

INVESTMENT TRENDS REVIEWED (By Our Commercial Editor.) Taken on the whole, the week on the Christchurch Stock Exchange was not particularly active, being- without any particular buying and selling strength. The market generally still appeared unsettled. The announcemnet by Felt and Textiles of Australia of an issue of 1,260,000 4 per cent, third preference shares introduced a new “low” in preference dividend rates. It should be interesting to see whether other Australian companies seeking fresh capital meet with success in arranging preference capital at this rate. The week's turnover was 10,487 shares,, a drop of 1347 Shares on the previous week's business. Details of business, with the previous week’s figures in parenthesis, are as follow:—Government stock, £4875 (£5200); bank shares, 238 (1822); breweries, 500 (150); gas, nil (320); insurance, nil (510); loans and agencies, £590 stock (667 shares); frozen meat, 500 (nil); woollens, 427 (785); miscellaneous, 5603 ( 5380); mining, 650 (700); unlisted, 2569 (1500).

A fair turnover for Christchurch was recoided in Government stock, and prices showed little change, although quotations appeared easier for the longer-dated 3 per cent, issues. Returns to buyers of Government stock have improved fractionally over the last three weeks, prices remaining more or less the same, whilst additional interest has accrued.

The banking section was quieter than for some time. A large parcel of Bank of Australasia shares changed hands at £ll 7s, but apart from this transaction no other sales were recorded.

New Zealand Breweries had dealings at 55s 2d and 555, and sellers were prepared to go on at the latter figure, which showed a total drop of 9d on last business. These shares show to-day a return of 3g per cent. Ballins Bros, shares had the only other business in the breweries section to sell at 325. At this price, on last year’s dividend, these shares show a return of 4g per cent., but it must be borne in mind that the company’s capital has been increased during the current year.

Apart from one sale of New Zealand Refrigerating Company’s contributing shares at the unchanged rate of 18s 6d, the frozen meat section was dead, with sellers predominating in the case of most shares.

In the loan and agency section a parcel of New Zealand Farmers’ Co-operative secured deposit stock, due 1950, sold at £lOO 10s Otherwise there were no sales in this section.

Kaiapoi Woollen ordinary shares lost a little ground when a few parcels changed hands at 265. However, at the end of the week no further sellers were quoted. The remainder of the woollens section was lifeMiscellaneous Section In the miscellaneous section Broken. Hill Proprietary lost ground over the week from 56s 3d down to 55s —following the easier trend m Australia. Colonial Sugars had sales at £59 10s, but on the Australian exchanges this stock sold down to £5B 15s. Electro. Zinc had business at 74s 3d, but the market closed with unsupported sellers at 745. Australian Consolidated Industries had reported business at 62s 6d—down 2s 9d. Wool worths, Ltd., after selling at 245, eased on quotations to buyers 23s 7d, sellers 23s lOd. Macduffs, Ltd., sold at 53s 9d, but closed on an easier tone. Fletcher Holdings enjoyed a fair, turnover at 36s 6d and 36s 9d—this company announced that it would be issuing new capital to its shareholders on the basis of one for three, but the amount of the premium, if any, was not advised. Some odd lots of New Zealand Drug rights were disposed of during the week, and prices ranged between 32s 6d and 32s lOd. A total payment to this company of £3 10s brings the price of the fullypaid shares to approximately £5 3s. Odd lots of Mason, Struthers 14s paid and 10s paid shares were sold at more or less unaltered rates. Hay’s, Ltd., had business at the unchanged rate of 60s, and the market closed firm, with buyers at 59s—no sellers. Dunlop, New Zealand, preference shares improved by one penny to sell at 15s 4d. These shares will be quoted £1 fully paid on March 17. The ordinary shares lost 2d. Wilson’s Cement eased a little further when sales took place at 17s Id. Claude Neon, New Zealand, confirmed recent easier quotations when they sold at 48s. New Zealand Newspapers also lost ground to sell at 48s. Beath and Company’s contributing shares had a sale at the unchanged rate of 20s. In the Australian mining section, Mount Lyells found new owners at 31s 9d, and in Australia sales took place at 31s. Mount Morgans sold on the last day at 12s, showing a drop on last local business of Is 6d.

The. New Zealand mining section was neglected.

In the unlisted section, Skellerup Industries preference shares again commanded quite a little interest, and sales took place at 23s 9d and 23s 6d. Whakatane Paper preference shared had their first local business for some little time to sell at 31s 6d. New Zealand Fisheries also reappeared on the sales list to sell at the unchanged rate of 18s.

Dealings are now being recorded in Beath and Company’s Is paid shares (with 19s on deposit with the company against calls). These shares carry the same rate of dividend on the Is paid portion as the ordinary fully-paid shares. On the 19s advanced the company pays to the shareholder interest at the same rate as dividend on the ordinary shares. The interest received by the shareholder, howeye!, on his 19s a share advance is liable, in his hands, for social security charge and unearned income tax, whereas the interest so paid out by the company is a deduction from its profits in arriving at assessable income. Transactions were recorded in this stock, during the week at 40s. On last year’s dividend, the purchaser of 100 shares at this figure would receive 10s dividend (non-assess-able), and £9 10s interest (liable to tax).

STOCK SALES ST. ANDREWS Although competition was not as keen as usual, all local butchers operated at the St. Andrews stock sale on Thursday Values for fat lambs and sheep held firm, but the store sheep offering met with a dragging sale. Prices were:—best fat cattle and steers, £l9 to £2O 7s 6d; others, £l5 to £lB 17sBest fat cows, £9 7s 6d to £ll 2s 6d; others, £7 to £9 7s 6d. Best fat heifers, £ll to £l4 17s 6d; others. £8 to £lO 17s 6d. Fat Sheep—Maiden ewes, to 38s lOd; fat ewes (exporters), 17s to 25s Id: fat wethers, 35s to 40s Id: best fat lambs. 33s to 38s 7d: others, 27s to 325. Store Sheep.—Mixed sex lambs, to 26s 3d; medium ewe lambs, 27s to 30s: small wether lambs, 14s to 17s; rape ewes, 11s. TEKAPO (P.A ) TIMARU, March 5. At the annual sale of Merino sheep at Tekapo to-day, ewe lambs made to 40s, wether lambs 27s 6d. one-shear ewes 475, and two-shear ewes 48s 6d. Buyers were present from all parts of the South Island, and values realised were the best on record. COMPANY NEWS Bonds Hosiery.—Bonds Hosiery Mills, Ltd., will pay an annual dividend of 10 per cent., unchanged, on all shares on March 25, ex March 12. Contributing shares will rank as from May 19, 1947 Hume Pipe (Australia). Ltd.—This company has declared an interim dividend on preference shares of 31 per cent., payable on March 25. ex March 16. The company paid a final preference dividend of 7 per cent, last year. Loan Redemption.—The Reserve Bank has notified stock exchanges throughout New Zealand that the 2J per cent, loan maturine on May 15. 1948, will be repaid at maturity, but with few exceptions holders will be offered reinvestment in the current over-counter issue of 3 per cent, stock maturing July, 1963-65. ♦ COMPANIES REGISTERED Registration of the following companies appears in the current issue of "The Mercantile Gazette’’:— Linwood Stores, Ltd. Private company. February 12 Capital: £l3OO in £1 shares. Subscribers—Christchurch: A T. Copland 1299, G. M. Copland 1. Objects: general -torekeepers and incidental. Dodds JG W.). Ltd Private company, February 19; 479 Papanui road. Capital: £lOOO in £1 shares. Subscribers—Christchurch: G. W Dodds 999. G M Dodds 1 Objects: manufacturers, indent agents, and incidental Clark Wood. Ltd Private company, February 19, 136 Manchester street. Capital: £2OOO in £1 shares. Subscribers: D Clark, J O Wood 1000 each. Objects: manufacturers, merchants importers, exporters in preserves, dealers in foodstuffs and incidental. BRADFORD TOPS QUOTATIONS (N.Z. Press Association—Copyright) LONDON, March 4 Quotations for Bradford wool tops are as under .—Merino: 70’s, 108 d; 64’s, 98d; 60’s, 92d. Crossbred: 56’s, 57d: 50’s, 12d’; 40's, 384.