SOUTHLAND BUTTER MERGER.

Hokitika Guardian, 4 October 1927, Page 4

SOUTHLAND BUTTER MERGER.

The following paragraph appears in the annual report of the Farmers' Raily 'Federation :

Probably the most important step taken by vour directors was the acquirement of the Southland Dairy Company. Gray Brothers’ Gore Dairy Com pan, and the Southland branch ( f the Wnitaki Dairy Company. The purchase of those three businesses was completed rut the last day of the financial year, after some months of negotiations. Tile total price paid for the three interests amounted to £23,201, the purchase being a cash one. The federation in Hit' purchase acquires all Iho land, building, plant, machinery, and transport equipment of the three companies. The transfer was effected on August ]73, from which date these companies ceased to operate in the province. Present shareholders in the federation will not bo called upon to provide any additional share capital, and no alteration of the articles of association is called for. The vendor companies have no representation on the directorate of the federation, the transaction being a straight-out purchase. The transfer of a largo proportion of the plants from the Waitaki and Southland companies’ premises is being made to the federation and Gore factories, each of winch will have its manufacturing capacity practically doubled.