PULP AND PAPER.
PROPOSED NEW MILLS. ACTION IN CANTERBURY. (By Telegraph.—Press Association.) CHRISTCHURCH, Monday. Proposals for merging the present share capital of Tlmberlands- Wood Pulp Company with the bond holdings into a total share oapital of more than £2,400,000 for the purpose of almost immediately establishing pulp and paper mills in the Bay of Plenty were endorsed by a meeting of Canterbury bondholders’ delegates this evening.
The chairman, Mr A. B. L. Smith, said that when production was started the company would control the largest industry in the southern hemisphere. Mr 11. A. Ilorrocks, the company’s New Zealand attorney, said that each bond would be -taken into capital at £55 and the share capital would be written up accordingly to £2,444,444. Present supplies of timber would enable a mill with an output of 26,000 to 30,000 tons a year to operate. The oost of production was estimated at £ll a ton and the net profit, based on New Zealand wholesale prices for paper, xvas averaged at about £l2 a ton. The expansion capacity for the raw material was up to about 150,000 tons a year.
The meeting unanimously decided to approve of the bond contract being varied and of the carrying out of the merger proposals.
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Bibliographic details
Waikato Times, Volume 113, Issue 18952, 23 May 1933, Page 2
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206PULP AND PAPER. Waikato Times, Volume 113, Issue 18952, 23 May 1933, Page 2
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