Com. Sec. to raise $1.5M

Press, 2 November 1984, Page 18

Com. Sec. to raise $1.5M

Commercial Securities, Ltd, will make its first renounceable cash issue, in the ratio of one-for-five at 50c par. The Auckland property investment company will raise $1,518,000 in the issue and the capital will be used to help complete the extensive renovations in the Dilworth building, Auckland, and to buy an additional property. Commercial Securities’ chairman, Mr M. J. Tanner, says that the company expects to report a net profit of about $250,000 in the first six months of the current year on November 14, compared with a loss of $19,000 for the same period last year. If present trends continue, a net profit of more than $500,000 is expected for the full year, plus an additional $2 million from property revaluations. The renovation of the Dil-

worth building has started and the increased rentals are a big contributor to the improved performance, he says. Arrangements have been made for the issue to be underwritten, and the company’s two biggest shareholders, Emus Holdings (Auckland), Ltd, and Landmark Properties, Ltd, have agreed to take up their entitlements.

The offer will be made to shareholders on November 13, and applications close on December 7. The ex rights date is November 9.