A GOLDEN INVESTMENT

Hokitika Guardian, 17 July 1930, Page 5

A GOLDEN INVESTMENT

AUSTRALIAN AND NEW ZEALAND

BANK’S NEW ISSUE,

SHAPES 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 it's issue of one half million shares on the market at 100 per cent, premium, and that the full amount was rapidly oversubscribed, 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 of 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 sh.ii res on issue have been snapped up and the Corporation has .already golle to allotment. The easy, nature of the terms has no doubt made this possible to ninny investors—ss on application and calls of 2s ’6d per share. ;