INDUSTRIAL GASES

Press, Volume CIII, Issue 30472, 20 June 1964, Page 16

INDUSTRIAL GASES

Bonus Issue Proposal OtJ. Press Association? WELLINGTON* Jwm Iff. The director* of New Zeeland Industrial Gases, Ltd., Lower Hutt, propose, to increase ordinary paid-up share capital from £750;000 to Hm by means of a bonus Issue of one ordinary share for every three ordinary shares at present held. For the purpose of this issue, present holding will idelude B ordinary shares. The bonus issue will be made from capital i and general Preference shares were issued In 1947 at 4) per cent, which was a satisfactory rate •at that time, but directors say over the years interest rates have steadily increased and there seems little likelihood of any reversion to cheap mqney in the foreseeable future. Bears Harshly

"The low dividend rate on our preference shares bears harshly on many of our small holders, a large number of whom purchased their holdings many years ago,” they say. For this reason, directors consider that the dividend rate of preference shares should be brought into line with rates being paid by other companies, and propose an increase from 4} per cent per annum to 5} per cent per annum.

Both proposals will require the approval of ordinary shareholders.

The proposed increase in preference dividend will also require the approval of preference shareholders.

Meetings to consider and approve the directors’ recommendations will be held at the annual general meeting in December.