SOUTH SEA PHOSPHATES

Otago Witness, Issue 3315, 26 September 1917, Page 8

SOUTH SEA PHOSPHATES

SALE OF ENEMY INTERESTS. (Fboh Oub Own Correspondent.) LONDON, June 29. Among enemy shareholdings offered for sale from time to time lately by order of the Public Trustee few, if any, command as much interest as the block of shares in the Pacific Phosphate Company which _ are to be sold on July 26. The concern is a, British undertaking, registered in 1902, and owns concessions for phosphate deposits in the South Seas. Some of these deposits are on islands which formerly belonged to Ger» many, and this explains the enemy interest in the company represented by the shares siezed by the Government. The company has a capital of £1,200,000, of which £975,000 is issued, £125,000 being in 7 per cent, first preference, £IOO,OOO in 6 per cent, second preference, and £750,000 _ in ordinary £1 snares, half of the last beinff only 10s paid. The shares to be auctioned by Messrs Foster and Cranfield consist of 4-2,610 first preference, 19,545 second preference, and 370,665 ordinary shares, of the last 186,976 being 10s paid. The enemy holding therefore constitutes nearly half tho issued capital, and practically a controlling portion of the ordinary shares. The enterprise has been a big commer-

cial success, and the demand for fertilisers is likely to be keener in the future than ever it has been in the past. The profit has averaged about £127,500 per annum, and the ordinary dividend just under 2S| per cent, per annum, without taking into Eiint a share bonus of 200 per cent, in , and of 33 1-3 per cent, in 1909. An i of £60,000 5 per cent, debentures, since paid off, was made in 1906, and in 1914 the £IOO,OOO second preference shares were offered for subscription, but the first preference and the ordinary shares have never been available for purchase, by the general investor in any quantity. Having regard to the statu g and prospects of the company, there is likely to be keen competition for the enemy holdings. The shares will first be offered in one lot.