U.E.B. OFFER TO KNIGHT

Press, Volume CVIII, Issue 31862, 14 December 1968, Page 22

U.E.B. OFFER TO KNIGHT

Bid Made For Pref. Shares (N.Z. Press Association) AUCKLAND, Dec. 13. Having acquired the ordinary capital of Knightsbridge Carpets, Ltd, Auckland, U.E.B. Industries, Ltd, is now making an offer for the $300,000 preference capital. In a letter to preference shareholders, U.E.B. is offering two of its ordinary 50c shares for each of the 150,000 $2 Knightsbridge preference shares. Based on today’s U.E.B. price of 106 c, the Offer is worth 212 c. The preference shares were last traded on October 31 at 180 c. Preference Dividend The Knightsbridge preference dividend is 7 per cent, and by accepting the U.E.B. offer, preference shareholders would see their immediate yield drop to 5) per cent. However, by selling the U.E.B. shares they would find no difficulty in reinvesting in fixed interest securities at a 7 per cent return. The offer is conditional upon 90 per cent acceptance and remains open until the end of February.