DUNLOP RUBBER EXPANSION.

Evening Post, Volume CVII, Issue 54, 7 March 1929, Page 14

DUNLOP RUBBER EXPANSION.

In view of the merging of Australian rubber interests, in which it is represented, the Dunlop Rubber Company's (England) consolidation and expansion overseas is worthy of note. In July of last year the company made an offer to purchase all the ordinary shares of the Tire Investment Trust, Ltd., at 7s 3d per share, an offer accepted in respect of approximately 95 per cent, of the ordinary share capital. Last November an agreement was entered into with the Tire Investment Trust, Ltd., for the purchase of the latter's investments iv the Dunlop Rubber Company (Far Bast), Ltd., Dunlop Rubber (China), Ltd.,.Dunlop Rubber (Straits Settlement), and the Dunlop Tire and Rubber Goods Company, of Canada. Tho price payable was £li) 5,000 in cash, and the allotment to the Tire Investment Trust, Ltd.; of 800,000 ordinary shares in the Dunlop Company, as well as the right to receive in June, 1929, either a further 350,000 shares or their value in cash at the market price ruling on. 31st May, 1929, with a minimum price of 2Gs per share, together with a sum equivalent to half of auy dividends to which the shares would have been entitled in respect of 1925. One of the terms of the agreement was that for a period of five years the shaves to be acquired should not be sold without the consent of the Dunlop Company. This acquisition showed th 6( iiitention of "the Dimlop Rubber Company to take back the overseas companies which had left the Dunlop fold, a policy which is evidently expected to benefit the parent concern and the company it is absorbing. ■• The Dunlqp Rubber Compauy holds 500,000 ordinary shares in the Dunlop Company of Australasia with, an .option on a further. 500,000 at a premium of 10s.