Page 2 Advertisements Column 7

Dominion, Volume 13, Issue 263, 31 July 1920, Page 2

FINANCIAL. , -■ abridged prospectus of CENTRAL TIMBER & PLYWOOD COMPANY, LTD., TO BE INCORPORATED UNDER "THE COMPANIES ACT, 1908." . CAPITAL - £85,000 DIVIDED INTO 85,000 BHARES OP £1 EACH. WHEREOF • _ 62,500 are offered to tho public for subscription, payable as follows i--2e°. 6d. per share on npplication. 2s. 6d, per share on allotment, and the . BALANCE in calls of not morb.th.Mi ss. per share at pcnodß of not less than two months. , ■ , 22,500 shares of £1 each, credited as fully-paid up, are to be allotted to tho vendor or his nominees and tho respective company and persons from whom he holds certain options, together with the sum of .£17,500 cash, in terms of tho Agreement dated the 30th day of June, 1020, and the options therein referred to. Total, 85,000 THERE ARE NO PREFERENTIAL BHARES." -'' DIRECTORS: ' ~. ' - : •' ALEXANDER MACPHEBSON, J.P., Sawmiller, lnvercargill. "■'■■ '.. WILLIAM ROY RIDDELL, J.P., Timber Merchant.and Manufacturer, ■ lnvercargill. • JOHN FISHER, J.P., Accountant, Otautau. '■'" '' ' .' WILLIAM MOSELEY ANDREWS, Builder and Contractor, 'lnvercargill: CHARLES HENRY HAYWARD, Furniture Manufacturer, ; Dunedin..:, (The above Directors'shall hold office until the First Annual General Meeting ol tho Gsmpwiy.) ' ",'.. » BANKERS: THE BANK OF NEW ISOUTH WALES.' .; ":. . SOLICITORS: ■ MACALISTER BROS., Esk'Street, lnvercargill..•■ ■. -. ■ j .SECRETARY: •s,,''-"■'■■ I ' JOsfpHHENSLEY, F.N.ZA.A. ;.'.' . BROKERS: KEITH MARSHALL, 24 Grey Street, Wellington (for 'Wellington Province, HawkeVßay, cte.) •■ OBJECTS OF THE COMPANY:. -V; .V/':.;.,:.:..' To acquire tho options over und purchase the whole of. the sawmilling properties of the OTAUTAU TIMBER. COMPANY, the WESTERN DISTRICT SAWMILLS. LIMITED, A. and D MACPHERSON AND HARRINGTON BROS. GENERAL: • '> ;-. •-, ,t Tho proposals of the' Company involve doing away gradually'with the Existing Bush kills on the properties to be acquired, where wasteful and out-of-date methods arc employed, and tap completion and carrying on of.a largo central mill and box-cutting and plywood plant in Otautau. Instead of the logs being as now trolleyed to tho mills and the timber again trolleyed to the railway, it is / intended that the logs be taken direct from the forests, to. the central mill, by means of either light railways or motor traction. The properties to-be acquired are particularly well adapted to being worked by a,central mill'at Otautau, as they are all conveniently situated to' tue centre, and if light-railways are adopted the proposed lines would all bo on down or very easy grades from the forests to the mill. The estimated quantity of timber available locally is; estimated by . expert knowledge at 225,000,000 feet. This would last a mill cutting 400,000 feet per month from thirty to forty years. Tho timber consists mainly of first-class Southland Beeoh (Fagus Menziesii),for which there is an ever-increasing demand all over. New Zealand and from Australia, together with a fair /proportion or Rimu, Whito Pine, Matai, Totara, and other timbers. Southland' Beech is now regarded as among the most valuable timbers in the Dominion The- Red and White Pine, of wliichi there are large quantities, are also of iirst-class quality. ADVANTAGES OF CENTRALISATION: Amongst the advantages to be gained by the centralisation of the existing The elimination of the waste, which now takes place at-the bush mills, by tho utilisation of the whole of the log; TWe best of the logs will be cut into the . • ordinary description of timber, whilo the off-cute and rough, parts will bo worked into'box and small timber goods, and anything left after that can bo sold tot firewood. Reduced cost of produotion. • . , . Better command of labour. The time has arrived when better conditions must obtain for workmen and the establishment of the mill at the town, withi better housing, school, and social facilities for workmen, will attract a good class of labour. ' '■ ' ' ' . i THREE-PLYWOOD. The timber in tho forest to bo acquired by the Company has been found to be particularly suitable for the manufacture of three-ply wood. As there are great possibilities'in this industry, it is consider the installation of -a plant for the manufacture of th<is article. •'.'•- APPROXIMATE COST OF MILL. LINES, AND OTHER PLANT: .£20,000. .PROFIT: ; The following shows the approximate cost, and selling price of timber from the proposed mill. The estimate is based on an output of 400,000 feet per month ;- •.Selling Price, 15s. per 100 feet ....v. JB3OOO • Nett Cost at lis. per 100 feet .. ••»»• .*®M : Estimated nett profit '..'. Li.:'......:...:. Equal to Is; 'per 100 feet ...... , : ;r, ;■';■; ,• • .-— — , ' '•'' According to this estimate the annual profits from the,sale ot.timber, on a monthly production of 400,000 foot would be .£9600, To, this' must bo added the profits on manufactures, including the profit on the manufacture of plywood. PROPERTIES TO BE ACQUIRED BY THE COMPANY. • The following is a summary of thia properties which will be acquired by the Company under the options referred torn the said'agreement:- ■ 7231 acres good freehold in Waiau District, carrying Virgin Bush, estimated at 10,000 to 14,000 feet per acre, on which there is a liability of -63320, to be taken over by the new Company. . ■•.,-„'•-' . j •>, Three well-equipped mills, complete with all necessary gear, and one good mill plant at present idle, but not fully equipped. • ■ . 6000 acres of maiden bush rights and the rights to a further 16,000 acre! approximately of maiden bush are procurable, and will he in to thebusti to be acquired by the Company. . . Freehold sections 13 and part U. Block Vll,,Otautau Township, containing,3 acres 1 rood 3.4 poles, with siding rights'from the Railway Department and private tramway rights. ' ■ ' -'. '■'■„■ MINIMUM SUBSCRIPTION: The qualification of a Director 6ball bo the holding of not less than 250 The minimum subscription on which the' Directors may go to allotment in ' The name and address of the vendor is Alexander Macphcreon of InvercarKill, Sawmiller, and the consideration for the purchase of the options over the laid properties is to be paid by allotting and iosuing to, the. vendor or his nominees 1500 fully paid-dp shares of £1 each in to, capitaRof tho Central Timber and Plywood Co:, Limited, and the names and addresses of the Company and persons deemed to bo vendors within the meaning of "Tho Companies Act, 1908 tiro ,— * Western District Sawmills, Limited, registered office in lnvercargill, which is to receive #1500 in cash and 11,000 fully paid-up of ill each. Alexander Maopherson and Flora Maopherson, of lnvercargill, in New Zealand, Sawmillers, who aw to receive .£IOIXI .In. cash' and 3000 fully paid-up shared ° ( EHsha Harrington and-Arthur Harrington, of Otautau, Sawraillers, who aro to receive .£2500 in cash and .3500 fully paid-up shares of £\ each. William Rov Riddell, William Smith, Joseph Hensley and John James Wesney, all of lnvercargill aforesaid, trading together in partnership as-Sawniillers under the name of The Otautau Timber Company, who are to receive 47500 in cash and • 3500 fully paid-up shares of £1 each, as consideration for the purchase by tho Central Timber and Plywood Company, Ltd., of the Various properties comprised in the options given by them to the said' Alexander Maopherson, bearing date the 29th day of June, 1920. ,' ' ''' •''.,' . ~~ . The Company will pay a brokerage of 5 per cent, on shares allotted.- ; The estimated amount of preliminary expenses (which does not includt brokerage) is 4500. ..,.'„ ... .. . ~ The Agreement under which the Company is acquiring options to the properties is dated tho SOth dokof June, 1920, and is made between Alexander Maw nherson of tho ono part any James. Lang Stead as trustee for and on behalf of the Company of the other part, and the same, together with the options abovementioned maybe inspected at the office of the Company's Solicitors, Messrs. •Mawlister Bros., M Street,- lnvercargill, during office hours Mr Alexander Maopherson is a Shareholder in Western District Sawmill 6, Limited anil a joint owner with Flora Macphereon of Section 7, Waiau District, . and is also tho person entering into the contraot for tWj sale, of all the options to Jamo« Lang Stead, as trustee for the Company, and.W. R. Riddell is. a partner In the Otautau Timber' Company; and they aro therefore as inch interested in tho promotion of the Company/ahd'in theproperty proposed to bo.acquired by it, ' but they have no other interest in its .promotion or in the property proposed to be acquired by it. ..-.■■ .''.'■• , ■■ • . Application for shares should be made upon ttiie form accompanying this Prospectus and sent to the Secretary or. Broker, together with the amount payable on application. If no allotment is. made the deposit will be returned in full, and if the number of shares allotted is less than the number applied for, the balance of the application'moneys, or a sufficient part thereof, will be applied in reduction of the amount due on allotment. Prospectus and Forms of Application for.shares may be obtained from this Secretary, or from the Company's Brokers. REPORTS:.' ' •-•■,*.„ Mr. T. E. Trail, managing director, Trail Bros., and Smythics, Ltd., Sawmill' ers, Riverton, in his report states, inter alfa:— ' " -~ . The route from the proposed Mill to to forest is mostly level or easygrauiente and no bridges of any consequence or railway orossings are necessary. Iho • great bulk of the timber will be carried on a down grade to the Mill. , The area of Virgin Forest within throe to nine miles from proposed Mill; is approximately 13,000 acres, while no doubt there will be further supplies.obtainable from settlers or Government sources. • . I estimate the average yield oyer the wholo at not leas than 10,000. super, feet Over' 5000 acres of the above, I understand, are held by A. and D. Maopherson, Otautau Timber Company, and Western District Sawmills, Ltd. There- is ample timber in their holdings alone to warrant tho erection of a largo mill. Their holdings besides form tho key or outlet to a great portion of to adjoining . forests, which naturally fall into this mill. Tho timber in the forests is chiefly Beech (Fagus Menziesii), witb a fair amount of White and Red Pine, etc. There should be at.least a proportion of 50 per cont./of first grade quality suitable for special purposes, viz,, furniture, bending, dressing, etc., also a largo proportion, of good quality for butter boxes and cheese cases. In, consequence of.bcihg able to cut up everything of a sound nature for boxes, oto„ 30 per cent, additional marketable sawn timber can be produced. . a • Appreciative reports from Wm. Bird, Sawmiller, Otautau, and Mr. Paul Broun, Sawmill Manager, Otautau, iro alto contained in the prospcotus. FORM OF APPLICATION FOR SHARES: To the Directors of— CENTRAL TIMBER AND PLYWOOD COMPANY, LIMITED. .' hereby make application for 6hares in CENTRAL TIMBER AND PLYWOOD COMPANY, LIMITED, and enclose herewith, the sum ! 0 f , , ,„,„, being the amount payable on. «ftplicaXon. for the said Shares. AND I agree to accept the said Shares -or such lesser number as tho ' Directors may allot to .., and, to pay the balance of tile money for [ eoid Shares as provided in tho Company's Prospectus, dated the Second day of ■ July, 1920. And I undertake, in tho'event of my becoming a shareholder in the ! Company to be bound by its Memorandum and Articles of, Association and Regu- ; lations. Name in Full •■■• ' Occupation ; '. ( Address •: ■•••■—' Dated this. day of ;.«.„■....* MS*. '