A LOAN FAILURE.

Dominion, Volume 3, Issue 664, 15 November 1909, Page 7

A LOAN FAILURE.

SOUTH-AUSTRALIA: AND LONDON ; ;:''-."•( MARKET. Q.'/'A.. " ; -- .(By TeUor»ph-Pr«»';AB«ooiatlon-Oi>pyr]eht.)' ',:.;■ r "London, November 12l The now South Australian half-million loan is BtiU uncleared, though it has been offered as low as. £89 10s., and buyers have been asked to bid. :; ■■;• ■..;:•;;;.;.:;.,;, - : i--, ■; '~.;-;,, [Messrs. Montagu" Brothers, financial agents,', are offering privately in London ,£500,000 of South: Australian 3j per cents;, .bearer certificates, changeable into inscribed stock, with a curroncy of 15 years at .£IOO 55., payable on December 1, when interest commences. It was cabled on'October'26 that, only a small portion of the half-million had been placed. London newspapers stated that the effect of the method of Obtaining the loan had been very prejudicial, and the market had declined to makenny price or deal in v the stock. The' "FinSnmer'-: 1 criticised, what'- it- 'ternied i '"''"tho second' dangerous experiment- of Mr. '■■ Peakoj ; Premier of South Australia, in loan flotation. The ''financier^',reference is to the twomilHon loan\ issued'last-year,'which' the''South' Australian Government agreed withy Lloyd's Bank; should ho issued by that institution, instead of, through, the; stockbrokers as previously. The Agent-General, Mr. Jenkins, resented'being passed over in. the' negotiations, and resigned. The brokers proved too strong for the Government/ and eventually the loan was withdrawn from Lloyd's Bank and was underwritten by Nivison and Co., , : shtirebrokers, who had'arranged previous issues.],: