A GOLDEN INVESTMENT

Timaru Herald, Volume CXXV, Issue 18620, 16 July 1930, Page 2

A GOLDEN INVESTMENT

AUSTRALIAN AND NEW ZEALAND BANK’S NEW ISSUE. SHARES NOW AT PAR Not for forty years have the public of New Zealand been in a position to buy banking shares at par. When it is remembered that the recently established Commercial Bank of Australia placed its issue of one half million shares on the market at 100 per cent, premium, and that the full amount was rapidly over-subscribed, the unusualness of the present offer will be the more readily appreciated.! Nor is this the only determining factor which has persuaded investors to respond as rapidly as they have done in the present instance for the six banks now operating in this country the average return has been 14.6 per cent, based on the paid-up capital and not on market price. This salient point, taken in conjunction with the great increase in the volume of trade (amounting to £92,000,000 per annum), without any additional banking facilities, has been sufficient to convince investors of the soundness of the offer—so much so that the 400,000 shares on issue have been snapped up and the Corporation has already gone to allotment. The easy nature of the terms has no doubt made this possible to many investors—5/- on application and calls of 2/6 per share