NEW SOUTH WALES' SUCCESS.
Having spoken in favourable terms of the New South Wales Conversion loan, I am glad to be able to report the success of the operation. It was a fairly large one, comprising an offer by New South Wales to-holders of impending maturities to the amount of nearly £11,000,000 to exchange into a new 51 Per cent. stock at the price of 99. At the time of the offer a fortnight ago, conditions were by no means unfavour- able, hopes at that time being entertained of a reduction in the Bank Rate. Since then, however, the unexpected large. gold withdrawals have completely changed the situation, and it would not have been at all surprising if underwriters had been compelled to take up a large part of the loan. Doubt- less if the lists had been open for a few days only the loan would have been greatly over-subscribed, but in large con- version operations, the lists perforce have to remain open fora lengthy period. Nevertheless, and in spite of the changed monetary situation, the loan, I believe, has been fully covered, and underwriters are completely released from their undertaking.
Previous page
