Guinea Airways and Holdens

Shareholders of Holden’s Air Transport Services Ltd. have been given until early in November to decide whether they will accept a proposal of the directors to amalgamate with Guinea Airways Ltd. of Adelaide.

A relatively distant date for decision has been fixed to enable shareholders resident in New Guinea to record their vote.

As an alternative to amalgamation, liquidation of the company is suggested by the directors. This course, it is pointed out, would entail a possible heavy capital loss.

Guinea Airways Ltd. acquired a con trolling interest of 15,000 shares in Hold en’s in June, 1934. Guinea Airways offers shareholders of Holden’s one Guinea Air ways share of £1 for every two Holden’s shares of £1 each.

A circular to shareholders of Holden’s states that the constant increase in freight with the development of the goldfields had been responsible for much competition

and price-cutting, but during the past 12 months the rapid growth had abated. With the volume of freights approaching sta bility, and the probability of further re ductions in transport charges, the direc tors decided to recommend a merging of operations.