COMMERCIAL U.E.B. 1:10 Issue; Interim Profit Up

Press, Volume CVIII, Issue 31831, 8 November 1968, Page 14

COMMERCIAL U.E.B. 1:10 Issue; Interim Profit Up

U.E.B. Industries, Ltd, the Auckland-based packaging group, is planning a one-for-10 issue of 50c shares at 75c to finance expansion in packaging and textile activities, directors announce.

In an interim report, they also announce that the profit for the half-year to September 30 rose nearly 8 per cent while sales increased by 6.5 per cent to the end of October on those for the same period last year.

This was in spite of very quiet winter months during the first half of the current year. The two trading periods cover the same operations and give a true comparison, they add. An interim dividend of 5 per cent has been declared, payable December 17, ex November 21. Export Sales Export sales jumped by almost 600 per cent to more than sl.sm in the first seven months compared with the same period last year. The issue will raise 51,785,000 and will be made to shareholders and note holders registered on November 28. Knightsbridge Knightsbridge shareholders accepting the current U.E.B. offer will also participate. The issue is underwritten and closes on January 31. The new shares will rank for a third of the final dividend for the year to March 31.

Plans for rationalising the textile interests are on the point of completion, the directors say. Considerable expansion of carpet yarn spinning activities is essential to meet increasing demands from the company's own car-

pet plants and overseas customers.

The volume of business in

all spheres of activities continues to increase profitably. The issue will lift ordinary capital by about sl.2m to around sll.lm. Because of the current profit trend the directors are confident that the dividend will be maintained at 11 per cent.