Company News U.D.C. (SOUTH PACIFIC)

Press, Volume CI, Issue 29909, 24 August 1962, Page 15

Company News U.D.C. (SOUTH PACIFIC)

Parent Company Move

(N.Z. Press Association)

WELLINGTON, August 23. United Dominions Corporation (South Pacific), Ltd., has announced that arrangements have been completed between United Dominions Corporation (South Pacific), Ltd., and its parent company. United Dominions Trust, Ltd., London, for the purchase of all the share capital in the associate companies in New Zealand at present owned by United Dominions Trust.

For this purpose the issued share capital of United Dominions Corporation (South Pacific), Ltd., will be increased by 650,000 shares of £1 each which will be allotted as fully paid to United Dominions Trust in satisfaction of the purchase price of the shares in the associated companies the net asset backing of which exceeds £ 1,000.000.

Consent has been given by the Minister of Finance to this transaction.

A company statement says: “Over the last few years, in order to protect their position in view of the proliferation of finance companies, the old-established finance companies which are united in this group and which had been operating in the field of industrial and hire purchase finances for many years, found it necessaray to join forces. “Made Possible” “This was made possible by the purchase of the share capital of the various companies by United Dominions Trust, London. “The abolition of the Capital Issues Committee, whose prohibitive policy hitherto made a merger of the companies impossible, has now removed the obstacle and therefore the merger is proceeded with in line with the original intention of the companies concerned. “It will result in the activities of all these companies becoming concentrated in United Dominions Corporation (South Pacific) and this company will have a fully paid share capital of £1,000.000. visible reserves of approximately £500,000 and assets totalling approximately £3,500,000.

“The company will operate branches in all major centres of the country. “Credit for Industry (New Zealand), Ltd., will now increase its shares capital by £240,000 to £250.000. The shares will be subscribed by United Dominions Corporation (South Pacific), of which it is a fully-owned subsidiary.

“This company will now be able to operate for the purpose for which it was formed in 1957,” the statement adds.