CONVERSION LOAN
AUSTRALIA'S ACHIEVEMENT
(British Official Wireless.!
(Received September 14, 11 a.m.)
RUGBY, September. 13. The Commonwealth of Australia, today announced the new conversion loan. The amount is £20,931,220, and it takes the form o£ 15 to 20 year stock, bearing 3% per cent, interest. As the issue price will be OS per cent., the average yield is about £3 18s per cent Its purpose is to repay £15,000,000 of Commonwealth 0 per tent. stock and £4,001,233 of New , South Wales and £1,049,993 of Western Australian 5% percent, stocks.
Holders of these stocks who elect to convert into* the new issue will receive preferential allotment. The loan was underwritten -today,' and the prospectus will be published tomorrow and the subscription list opened on Friday. This is the fifth and largest of the conversion operations carried out by Australia since last (Atuimi to lighten the burden of the external debt.
The last conversion loan was a 10 to 15 year stock, bearing 4 per cent., and the interest price' of that issue was 00, This loan was issued in July, and was the most successful of the series, for demand for conversion was so great that only about 15 per cent, of their applications could be allotted to the largest class subscribers. "The Times" says the scries of operations has been rendered possible by the improved credit and economic position of Australia, thanks to, reforms being carried out by the Governments and the remarkable rise in the price of wool.
CONVERSION LOAN
Evening Post, Volume CXVI, Issue 65, 14 September 1933, Page 14
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