MEAT EXPORT COMPANY

Dominion, Volume 8, Issue 2430, 8 April 1915, Page 3

MEAT EXPORT COMPANY

MEETING OF SHAREHOLDERS

PROPOSED NEW WORKS

Au important meeting of shareholders of the Wellington Moat Export Company is to be hold this afternoon to discuss proposals for a further increase of capital. The proposed increase has to do wlith a project to erect freezing works at Kakariki, adjacent to the bridge over the itangitikei Iliver, near Marton.

Following is the text of the circular issued by the directors to shareholders: "In the early part of last year there was a move on the part of the settlers in the Rangitikei and Manawatu districts to have freezing works erected in that locality, and the oompany was approached and asked whether it would consider the question of branch works. The directors replied that they favourably considered the matter and inquired if the farmers interested would take up shares in the company—say a minimum subscription of 10,000 £5 shares at a premium of 10s. per share. "Canvassing for shares was thereupon proceeded with by the interested parties, but the war intervened, and eventually directors agreed to go to the shareholders if the farmers could assure say a minimum of 7000 shares being taken up by settlers in the Rangitikei and Manawatu districts at the premium mentioned. At the time the proposal originated the £2 12s. 6d. shares of the company stood about lis. above par, but since then they have dropped to about 3s. 6d. Representations nave been made to the board that the new shares should be issued to the settlers in the Eangitikei and Manawatu districts at a less premium than 10s., and directors after careful consideration have thought it wise to recommend that they be issued at a premium of 56. per share. The settlers in the Eangitikei and Manawatu districts have promised to take up say 7000 shares. The directors propose to add the premium to the Eeserve Fund.

"The necessity actuating settlers in requiring new works, viz.—the inadequacy of the existing works to deal with the quantity of fat stock offering as rapidly as has become necessary, had already n&de itself apparent to tho directors.

"The existing capital of the company is £200,000, of which £175,000 has been subscribed. It is proposed to increase tho capital by £100,000 in 20,000 shares of £5 each. Of this increase it is proposed to issue at present 15,000 shares (£75,000) of which 7000 to 10,000 shares (£35,000 to £50,000) would go to the Rangiteikei and Manawatu settlers, and the balance would be first offered to existing shareholders at par for two months in proportion to tho number of shares they now hold. In respect to the 5000 shares forming the remainder of the existing capital the directors think these shares should be relieved from the observance of the resolutions passed at the extraordinary general meeting of members on August 6, 1902, those resolutions being as follow:—

"1. That the capital of the company be increased to £200,000 by the creation of 20,000 new shares of £5 each, ranking for dividend and in all other respects, except as hereinafter provided, pari passu with the existing shares, of tho company. "2. That the new shares he issued from time to time as and when tho directors in their discretion may determine, subject to the following conditions:—(a) No new share shall be issued i-xcept upon payment by the allottee thereof of a premiuin of not less thau .-os. share, (ft) The directors shall upon each issue of new shares offer 75 per cent, of such issue, at a premium of 10s. per share, to all the holders of the present shares (excluding the holders of former issues of new shares) in proportion to the number of shares held, (c) The directors may allot the remaining 25 per cent, of every such issue to applicants for the same, being owners of stock whose co-operation for any other reason it is in tho opinon of directors desirable to obtain, (d) Any part of any issue not applied for by present shareholders under 6ub-clause (b) hereof, or remaining unallotted under sub-clause (c) hereof, may be' sold, disposed of, and allotted as the directors shall from time to timo determine subject only to the conditions of sub-clause (a) hereof.

"The directors recommend that they be empowered to offer the rest of the shares Liter on as tho directors think fit an deither with d without a premium.