MIDLAND BANK CAPITAL INCREASE.
On more than one occasion when dealing with banking statistics I have ventured to express the opinion that the great expansion in deposits, together with the impending heavy demands for financial accommodation in the event of any trade revival, made it desirable that there should- be some addition to banking capital. Although so many items connected with banking statistics have expanded greatly during the past decade, the one item which shows a contraction is the proportion of capital to liabilities. I am glad, therefore, to note that the Midland Bank has taken the opportunity, arising out of the coming erection of new premises, to make an important issue to its shareholders. These are invited to subscribe for new shares of £1 each fully -paid at the price of £2 10s. per share in the proportion of one new share for every eight existing shares, this" premium per share to be credited to the Reserve. This offer will involve a new issue of 600,000 shares bringing in £1,200,000 of cash, one- half of which goes to the capital and the other half to he Reserve. It will be noted that nowadays new banking moital seems invariably to be taking the form of the paid-up shares.
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