IEL-Link prospectus

Press, 31 July 1986, Page 32

IEL-Link prospectus

PA Wellington The Wellington investment company, TAG Corporation, Ltd, has issued its prospectus for an offering by its subsidiary, Option Associates, Ltd, of 4 million IEL-Link units. The units, which will be traded and quoted on the Stock Exchange, are being offered at 50c each. Owners of the units will have the right, on June 30, 1989, to buy shares in the Brierley-controlled Australian company, Industrial Equity, Ltd, at the fixed price of SNZI6.BO, TAG said in a statement Every two units give an

entitlement to one lEL share plus bonus and future shares bought from dividend reinvestment and cash Issues. The offering by Option Associates follows a recent BIL-Link. BIL-Link units were listed at the end of June, trading as high as 280 c before settling at between 210 and 250. The chairman of TAG, Mr Peter Wise, said the lEL-Link offer was bigger than the original BIL-Link offer and was therefore more likely to accommodate the demand. The lEL-Link subscrip-

tion and exercise prices are denominated in New Zealand currency. Any downward movement in the New Zealand dollar against the Australian dollar would be a potential gain to the unit holder, with the reverse trend being protected by the underwritten exercise price.

Mr Wise said the holder of lEL-Link units was not compelled to take up the lEL entitlement in 1989 if the company shareprice by that time had not grown sufficiently. Applications close August 20.