INCREASE IN CAPITAL

New Zealand Herald, Volume LXXIV, Issue 22820, 30 August 1937, Page 5

INCREASE IN CAPITAL

BROKEN HILL PROPRIETARY ISSUE OF 1,740,000 SHARES BASIS OF ONE FOR THREE 2 lie decision to offer to shareholders shares of £1 each, equal to one share for each three existing shares, lias been made by the directors of the Broken Hill Proprietary Company, Limited, Melbourne. The new shares will be issued at 30s.

1 lie new issue will increase the paid capital of the company by £2,610,000 to £( ,840,000. '1 he £1 shares are priced at about S3s Gd on the Auckland Stork ItiXchango, so that shareholders arc in a position to purchase new shares at well under half the market value. A similar issue of 1,493,854 shares at 30s each was made in August, 1935, the new capital being used in expanding the company's productive capacity. Jhe new issue follows on a vear in which a record profit of £1,183,170 was earned. The company may be taken as a reliable barometer of the growth of the heavy industries in Australia, and the greatly-increased demand for iron and steel products brought about by rearmament and general industrial activity has resulted in a large expansion in trading. Although it has not been stated definitely what purpose the new capital will serve, it is probable that a large proportion will be absorbed by the new plant which has been authorised for installation at the steelworks at Newcastle and Port Kembla. The cost of the plant was not mentioned when the announcement was made by the company last month, but it was reported that the erection of the plant at the Newcastle works alono will involve the expenditure of millions of pounds. Practical control of the Australian iron and steel industry, either directly or through its subsidiaries, was gained by the company in 1935, when it acquired all tlie ordinary shares in Australian Iron and Steel, Limited. From an original issue of £320,000 in 1885, the capital of the parent company has grown to the figure of £7 i 840,000, which will be reached when the present issue is fully paid. KOTUKU OIL VENTURE CLAIMS OF PROSPECTUS STATEMENT BY MINISTER [iJY TKLKGK.UMI—I'HKSS ASSOCIATION] WELLINGTON-, Sunday The Minister of Scientific and Industrial Research, the Hon. 1). G. Sullivan, was interviewed to-day regarding the prospects of oil in the immediate neighbourhood of seepages at Kotuku. " Mv attention has been drawn to the sales propaganda of certain persons selling shares in an oil venture in the South Island," said the Minister. " in tlio prospectus concerned extracts from a report on tho Kotuku oilfield by the late Mr. L\ C. Morgan are published, Tho report is now 26 years old and during tho intervening period since its preparation several bores were sunk at Kotuku, the results of which I am informed led to a new conception of the geology there. The director of geological survey, Dr. Henderson, brought the results up to date and published an account in the annual report of the Department of Scientific and Industrial Research, 1933-34. " It is stated there that three bores reached rock bottom at Kotuku and showed beyond doubt that certain significant geological beds which bad considerable thickness at Brunncr are not present at Kotuku, at least not in tho area covered by those bores. As gravel and moraine deposits totally concealed a big portion of tho Kotuku area, tho application of geophysical methods was suggested, particularly what is known as the ' seismic ' method. "Contrary to tho statement in the prospectus of New Zealand Oil Concessions, Limited, tho geophysical survey was only of a preliminary nature. Its purpose was the study of known conditions previously explored by boring, with a view to ascertaining the physical characteristics of various beds and its possible application in the search for oil structures in the whole area, Tho results obtained demonstrate that tho seismic method is applicable to the area. " Owing to the limited nature of tho investigation," concluded the Minister, " no official deductions as to the .possibilitv of the development of a successful oilfield in the locality can at the moment be announced, beyond the statements already made public in the departmental report referred to."

GALATEA ESTATE HIGH PRICES FOR STEERS [UV TEI.EGUAPIl —OWN COHIIKSI'ONDKXT 1 HAMILTON, Sunday A draft of 227 chiller steers was sold at Galatea yesterday at a net price of £l3 5s a head. Tho steers,, which wero raised on tho station, will be sent forward during the next few weeks for export. NEW COMPANIES REGISTRATIONS IN SOUTH The following new companies have been registered in the South PUBLIC RUn. (X.Z.), Limited (Cliristrliurcti).-~ Cani'tal. .C7OUO into 2000 preference and 50(»o ordinary shares of £1 each, Subscribers: Christchurch —L'\ AV. Stevens, 1000; OT. Bullock, J00; C. G. A. bommcrs. 50; v H. Skinner, 50; I. A. Hall, 2<>; i. J, McKay, 25; W. H. Robertson, 25. PRIVATE Commercial Underwriter* (N.Z.), Limited (Wellington). —Capital, a'HOOO into .1000 shares of ll each. Subscribers: MastertPii— II A. R> Dunderdale, K. 13. Johnston, ,7. V Held, L. Barber, J. Shearer, D. A. Thompson. F. 11. Dunderdale, 11. A. liar, combe, W. 11. Sauifders, J. M. Laing, li,» G. Norman, J. A. Cowie, 250 shares each. Objects: Underwriting, investment, lending and agency company. Gormack, Wilkes, Davidson (Gore), LI mitod (lover curgil I). —Capital, £2IOO into 2100 shares of £1 each. Huhscribers: Go.'e— . Cronin, 700; V. li. y Peporell. Falconer !iSO. Invercarglli Gormack, Wilkes, Davidson, Limited, 700. Objetsi Motor importers and mechanics. Mutual Rental Cars, Limited < c, r ir, f,V church).-—Capital, £2OOO into shares of IJ each. Subscribers: l imaru -R. L. \V Woy, 1200; 11. Coxhead, 200; H. It. Wigloy, 200. Tho Hermitage—C. S. Kims, -00. Queenstown—A. G. Wigley, 200. .(mMirf Draper (V. A.) and Company, Limited (Wellington).—Capital, C2OOO into 2000 shares of £1 each. Subscribers: Lower llutt y. \ t Draper, loot); \\. M. Draper, I. Objects: General carriers. McKenzies (Sydenham), Limited (Veilington). —Capital, £IOO into 00 preference and <|o ordinary shares of £1 each. Subscribers: Wellington—J. D. McMillan, <lO preference; j R Mckenzie, Limited, -10 ordinary. Ob jeclsi General importers. INCREASE OF CAPITAL Takle Brothers, Limited (Auckland).--Capital increased by addition thereto of £2OOO beyond registered capital of £IOOO. N.Z. Pig Marketing Association, Limited (Auckland)— Capital Increased by addition thereto of £25,000 boyond registered capital of £25,000. REDUCTION OF CAPITAL Blythes, Limited (Napier).—Capital reduced from £120,000 to £72,000. WHEAT AT LIVERPOOL (Received August 20, 5.5 p.m.) LONDON, August 28 Wbout.— Liverpool futures: October, 8s 5 !3-16d per cental; December, 8s sid; March, 3s 2|d.