Tag up 260p.c. for half year

Press, 7 January 1987, Page 27

Tag up 260p.c. for half year

PA Wellington Tag Corp, Ltd, has announced an unaudited Profit after tax ’of 1,392,000 ($266,000) for the six months ended September 30, 1986. The result is an improvement of 260 per cent over the previous corresponding period. The result exceeds that of the full year ended March 31, 1986 on a comparative basis, and although associated company results are included, the result excludes revaluations and unrealised gains.

Tax took $1,001,000 ($87,000), and minority interests $314,000 (nil), but the share of associated companies retained profit added $140,000 ($72,000).

The directors estimate that the group profit together with unrealised gains have effectively doubled the shareholders fund base in the six months to September 30,

1986. Consolidated shareholders funds stood at $5.5 million at March 31, 1986. The Property Link cash issue in November 1986 was well supported and raised $1.9 million. Option holders will be entitled to bonus shares on a 4-for-3 basis when their options are exercised in June 1987. The directors noted that the Link Unit concept has been widely accepted by investors, and a substantial profit is anticipated for the full year from Property Link. This profit will include revaluations on property holdings and on holdings of property shares. Property Link holds about a million shares in Harcourt Corp, Ltd, as a result of the sale of shares in Industrial Products, Ltd. In addition, plans are well advanced for the joint development of a Wellington site.

A move to offshore activities materialised at

the end of December, 1986. A new entity to be known as Tag Pacific, Ltd, will be listed on the Australian Stock Exchange this month. Tag Pacific will undertake an investment programme in Australia, and this programme is expected to include an “all Australian Link Trust”. Tag Pacific will not list in New Zealand. The directors also note that a reorganisation of company structures has made it likely that Tag Pacific will become the major shareholder in Tag Corp. In turn, Tag Corp will participate in Australian activities through cross shareholding arrangement.