Bonus, cash issues by R. W. Hellaby

Press, Volume CX, Issue 32459, 20 November 1970, Page 18

Bonus, cash issues by R. W. Hellaby

(New Zealand Preu Association) AUCKLAND, November 19. R. and W. Hellaby, Ltd, Auckland meat processor, will make a tax-free 1 for 5 bonus issue in February. This will be followed by a 1 for 4 par issue on holdings after the bonus issue. The issue will raise $1,125,000.

The directors expect to pay a dividend of 8 per cent i on capital increased by the I two issues, they say in their preliminary announcement. ! This is equivalent to 9-6

I per cent on present capital, (compared with 9 per cent ipaid this year. ( The directors also announce that tax-paid profit for the year to September 30 was $911,901. This is a decline of $142,311 or 13.5 per cent on last year’s record $1,054,212. The earning rate on ordinary capital is down from 27.4 per cent to 23.6 per cent. The final dividend of 5 per cent is payable on December 16, ex December 7. It makes a steady total of 9 per cent—the rate to which it was lifted from 7| per cent. The bonus issue will lift ordinary capital by $750,000 to $4,500,000. The cash issue, which will follow soon after the bonus issue, will increase capital by la further $1,125,000 to $5,625,000. Details of the cash issue will be announced later,- but the new shares will be payable in two calls. Hellaby shares sold yesterday at 250 c, equivalent to 208 c after the bonus issue. The proceeds of the issue will help to finance the new plant at Whangarei, the directors say. Plans for this export plant, which will handle beef only, were announced at the annual meeting last December. i The plant is expected to (cost $2.5m. I Gold price declines (N.Z.P.A.-Reuter—Copyright) LONDON, Nov. 18. The price of gold fell in all the main European bullion markets yesterday. The decline was led by the London free market which clipped 14c an ounce off its rate. This brought it down to $37.46 at the afternoon trading session, but in later dealings it was being quoted at $37.50. Paris was down 17c, Beirut dropped 25c, and Zurich dealers lowered the rate by 12c to make it $37.50 an oz. London dealers attributed the price fall to selling in a thin market.