NEW ZEALAND LOAN AND MERCANTILE AGENCY COMPANY.

Taranaki Herald, Volume XLIV, Issue 10478, 2 December 1895, Page 2

NEW ZEALAND LOAN AND MERCANTILE AGENCY COMPANY.

It'seems, according to the Sydney Morning Herald, that the recent determination to issue £400,000 additional prior lien debentures by the Xew Z3aland Loan and Mercantile Agency Cotapany with the sanction of the holders of the existing debentures is not to be carried into eifect, so far as any issue to the public is concerned. It is now practically arranged that the company shall absorb the New Zealand Land Association which has been identified with it for a considerable time, and indeed carried on its business when under reconstruction. This association has £1,200,000 of capital in 60,000 ordinary £20 shares of which £669,481 was paid up, and £200,000 of capital in £1 deferred shares fully paid up, besides £337,944 debentures secured by trust deeds to the New Zealand Loan and Mercantile Agency Company. The latter company has £3,900,000 capital including 320,000 iii £10 ordinary shares, and 200,000 £3 103 preferential shares. Under the reconstruction scheme 280,000 of the ordinary shares were to be issued credited with 10s paid, and 40,000 with £1 10s credited as paid up and £8 10s credited as paid in advance of calls ; £l'per share was payable on those credited with 10s paid up, either 14 da> s after allotment, or in four instalments of 5s each payable 14 days, six mouths, 12 months, and 15 months, respectively, after allotment, with interest. The £8 10s par share credited as paid in advance of calls bears cumulative interest at the r.vte of 5 per cent, per annum, ranking after the dividend payable on the preference shfff^a. The latter shares are entitled to a cumulative preferential dividend of 5 per cent, and to priority as regards capital. Under that scheme 20,000 of the preferential shares were to be issued as fully paid-up to the holders of the old sixth issue shares and 140,000 to the holders of the shares of the old company. These latter were to be issued fully paid up 14 days after allotment, or, at the option oE the holder, in instalments of 10s per share, 14 days, 3 months, and nine months respectivoly and 20s 18 and 24 months respectively after allotment. The prior lien debenture stock, amounting to £1,970,000, is secured by a trust deed dated 18th December, 1894, as a first charge upon the uncalled capital and certain properties and mortgages, ' and as a floating charge on the undertaking and property of the company. Three-fourths of the amounts received by the company on realisation of freehold or leasehold properties, mortgages, or charges, after payment of expenses, and the whole net proceeds of the sale of shares in any company held by the old company, are to be applied to the redemption of this stock at 102£ per cent, by drawiugs at six months' notice. These prior lien debentures bear interest at the rate of 4 per cent, perttnnum. There are also £1,229,450 A debenture stock and £1,046,465 B debenture stock secured by trust deeds as second and third charges on the uncalled capital and mortgages of theloan company. The annual meeting of the new company, oE which the report when received will disclose the develop meucs of the first year's operations, was held in London a week or two back.