Page 11 Advertisements Column 1

Dominion, Volume 14, Issue 45, 17 November 1920, Page 11

\ FINANCIAL. NOTICE OP ISSUE OF PROSPECT ; US ' : ' OF E. REECE LIMITED, IRON AND HARDWARE MERCHANTS, s REGISTERED OFFICE: '' . 661 COLOMBO STREET, CHRISTCHURCH. '■ ; . t i 'AUTHORISED CAPITAL £125,000. ' r ■■ • DIVIDED IN TP 124,000 SHARES OF XI EACH. ' ♦_ •' ■ ' The above' COMPANY is ieeuinfc a Prospectus dated the 11th day of Novem. , "(W, 1920, inviting subeoriptiona at par for mooo r P.O. CUMULATIVE : PREFERENCE SHARES, , * FREE OF INCOME TAX. tthwß Shares are offered for subscription on the following' terms:— sa. PER SHARE' ON APPLICATION. to. PER SJL4RE ON ALLOTMENT. , ■ , ss. PER SHARE TWO MONTHS AFTER ALLOTMENT.. ss. PER SHARE THREE MONTHS AFTER ALLOTMENT. With the right to pay .the whole amount in cash at once, dividends beinß computed on the amounts paid up from date of payment. The said PROSPECTUS states inter alia that 'these Preference Shares •5 jsntifle the holder:— («) To % fixed cumulative preferential dividend of 7 per centum per annum, 'payable half-yearly in April and October, and FREE OF NEW ZEALAND INCOME TAX . (b) To priority over the ordinary shares in the distribution of surplus assets on « -winding up, but to no further rights in the profits or assets of the Company. , DIRECTORS: 1 JXMES ARTHUR . FROSTICK, 'C.B.E. (Chairman), Manufacturer, Chrietchuroh. .WILLIAM REECE, Merchant. Chrlstehfirch. ' JAMES JAMIBSON, rfentlemon, Christchurchi A. P. ALAN NICHOLLS, Woolbroker, Christchurch. EDWARD THOMAS REECE, Merchant, Christchurch. , WILLIAM G. ALEXANDER, Company Secretary, Christchurch. BANKERS: BANK OF NEW ZEALAND, Christchurch, • ' AUDITORS: . STEWART, BECKETT AND pO., 152' Hereford Street, Christchurch, . ' \ SOLICITOR: li, F. WRIGHT (Duncan,. Cotterill, and Co.), A.M.P. Buildings, Cathedral Square, Christchurch.' . " ' ■ ' CHIEF BROKERS: • TRANK GRAHAM AND SON)* 107 Hereford Street, Christchurch. STEWART, BECKETT AND CO., 152 Hereford Street, Christchurch. Applications may be made, through any member of the Wellington Stock Exchange. SECRETARY: W. Gh ALEXANDER, 861' Colombo "Street, Ctrristchurch. BUSINESS OF THE COMPANY. E. REECE, Limited, was Incorporated in 1916 to acquire tie well-known Etrdware Business founded in 1656 by the lato EDWARD REECE. The present business comprises Wholesale and Retail Departments and ex ' tensive stores and workshops, and is carried on in Colombo and Lichfield Streets, Christohureh, upon the Company's Freehold Premises, situated in the very heart of the city. A recent independent valuation of the property states the value at .£49,500. The rapid, development of the business has oalled for further capital to meet such expansion, and to enable the Company to adequately deal with its increasing turnover. Recently the capital was increased from ,£75,000 to £125500, und it is this increase of capital that is being offered to the public in the above issue of 7 per centum tax-free Preference Shares. 1, jv The varied and widespread business of the Company, covering allTiranclies :ef the Hardware Trade, ie too weff known to need comment, but the attontjon of the public is drawn to the extensive manufacturing business carried on by the Company in its Lichfield Street Engineering and Electro-plating Works, now employing over a 6core of competent mechanics. The Company also holds the'controlling interest in the Dial Chemical Company, Ltd., Manufacturers of the "DIA.L" Spraying ifaterials, so well known throughout the Dominion, and contractors Fruit-growers' Federation. A by no meivns inconsiderable asset is held by the Company in several valuable English, Australian, and American Agencies. ASSETS: . Freehold Premises— • ' £ Colombo and Lichfield Streets 49 500 •Stec£in-trade fln d Efleots 89000 Book Debts (after allowing for had or doubtful debts) 24,000 Inscribed Stock, Shares, Plant, eto ; j jjj .8167,500 ' • INCREASING SALES. Since the Compapy was incorporated its sales have year by year largely increased. The sales for the year ending February 28, 1919 (balance date). showed an increase over- the preceding twelve monthe of ... .£7,000 The sales for the year ending February 28,1920, showed an In. crease over the preceding twelve months of .£30,000 _ While for the period of eight months only, to October 31, of this year, there was an increase over ttio 6ame period of the preceding year of no lesj than .£45,000 These large increases were made after the war, when stocks were increas- . Ingly difficult to obtain, and are not the result of the inflation of the cost of goods, as the average of Hardware values ttis been practically stationary fluring the past two years. • PROFITS: The profits of the Company have been steadily increasing since it 6 incorporation. With the advent of more normal conditions it is reasonable to estimate that these increases, whioh have been rapid and continuous, iritli the Wdifional capital now applied for will be still further exceeded. In no business will the demand for 'construction*! ipaterial, consequent upon the termination ftf the war, fie larger than in respect of ironmongery and hardware, and a long period of unexampled demand for such material may bo confidently pradictcd. COPIES of the PROSPECTUS and Forms of Application for Shares can be obtained from any Member of thd Wellington Stock Exchange. Applications will be dealt with in the order of their receipt. The Prospectus itself has been filed with the Registrar of Joint Stock Companies. Dated this 11th day of November, 1920. ' E. REECE, LIMITED. MS.A. -IfROSTICK, Chairman of Directors.