COMPANY NOTES
THE ELY BREWERY, since its last accounts to August 31, 1957, has made various capital
changes: it has increased its authorised capital to £2,298,000, has made a bonus scrip issue of £314,243 4s. Od. from reserves, and has made a further issue of 628,484 7 per cent. Second Cumulative Preference Shares of 5s. each to holders of the £1,099,851 4s. Od. ordinary stock. The issued ordinary capital is now £1,149,844 in 3s. 6d. stock units (previously 2s. 6d. units) on which a final dividend of 2d. has been declared making 3/d, for the year. The rights issue will have increased the liquidity of the company. The chairman, Mr. L. Nidditch, reports that a new beer has been introduced under the trade name of 'Silver Drum,' which is generally known as Keg beer. He is well satisfied with sales to date—it has not yet been advertised. Shareholders may now be able to look forward to increasing profits. The ordinary units at 3s. 6d. yield 8.3 per cent., which is above the average for a brewery share.
Emu Wool have given shareholders more in- formation regarding their recent acquisitions. For a purchase consideration of £201,250, the Emu Group has acquired, out of its own resources. assets of £176,400 in Slimma and F. Friedlander. The average combined profits of these two con- cerns for the two years 1956 and 1957 were 06,000, against an average of £28,600 for the five Years ended 1957—it is not yet disclosed what the profits are for 1958. It is evident that if the Present rate of profits continues, the earnings of the group could be enlarged by as much as 10 Points on the present issued ordinary capital, Providing a cover of over 30 per cent, earnings for the 121 per cent. Emu dividend. The interim divi- dend was increased last November from 3+ per cent. to 5 per cent., which may foreshadow an increased final. The 5s. ordinary shares, now Es. 9d. to yield 7.15 per cent., appear to have Prospects, if, in spite of increased competition, the :Company now expands its trade under the able Chairmanship of Mr. Neville Blond.
Radio Rentals. Since our note on January 2 this company has announced a rights issue of I for 5 at I5s. which will raise £1.2 million and will more than take care of the £240,000 bank overdraft and the current tax and dividend liabilities. Expan- sion continues at a rapid pace with a 15 per cent, increase in set installations for 1958. A new buyer of the old shares, which since the announcement have risen to 34s., has an opportunity of acquiring laa investment in this growth stock at an attractive ;level, assuming, as we may, the maintenance of at :least the 20 per cent. dividend, with the present i .,,cOver, of 3+ times. The chairman, Mr. Percy
1 'Perring-Thomas, is optimistic concerning the I future having regard to the recent relaxation of hire-Purchase and rental controls.
Building Societies. ABBEY NATIONAL, the second 1,1trIlest building society, further expanded its business last year, so that assets now stand at j:304,000,000, an all-time high record, as compared with £278 million at December 31, 1957. During ,l958 there has been keener competition than ever before, but in spite of it investors at £57 million 4u:teased by £9 million. At the year end total liquid funds at £47.6 million equalled 15.6 per vent. a the total assets, The chairman, Sir Harold Hellman, and the managing director, Sir Bruce WYcherley, are to be congratulated on such a fine achievement. LEEK AND MOORLANDS has increased its assets by £2.37 million to £40.27 million at becember 31, 1958. New mortgages advanced dnring the past year were £5 million; cash and investments in trustee securities now total £6.45 Million. The chairman, Mr, Gilbert Tatton, has lust made an offer of a 70 per cent, bonus to share- holders of Sheerness and Gillingham Permanent linking Society for a transfer of their engage- 1 „Merits. • The Co-operative Permanent and the ts,stings and Thanet Building Societies are also in the field. The Leek and Moorlands already incorporates five other building societies. As We go to press it is known that the Sheerness and Gillingham shareholders have accepted a bonus of £4 per cent, from the Hastings and Thanet Building Society and that the Leek and Moorlands Building Society has opened merger negotiations .with another society.
„ Campbell Discount, a member of the Industrial oankers Association, announce that a substantial interest has been taken in their company by Minster Trust, but that control of the equity (Which is not quoted) will remain in the hands, of the Campbell family. Minster Trust will subscribe during 1959 for a new issue of preference shares. which will enable the well-managed Campbell niscount Co. further to expand their hires-
( Purchase business, which is chiefly connected with the motor trade.
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