STC-Colyer Watson Take-Over

Last March the Carpenter Directors, their ear as ever well attuned to mar ket possibilities, made a take-over move towards Steamships Trading Co.

Ltd., and—it was unofficially reported —had submitted an offer equal to 58/- per £1 share. (At last balance sheet, "Steamies" issued capital was £1,176,316 in 50,000 £1 Prefs, carry ing 7 per cent., and 1,226,316 £1

ordinary shares.)

Carpenters, it was reported, offered 16 fully-paid 5/- shares in Carpenters Holdings for each 10 ordinary shares in STC, plus 5/- cash for each £1 ordinary STC shares; but this had to be recommended by the Board to the shareholders, and 51 per cent, of the latter must accept.

But the STC Board informed its shareholders by circular letter on April 4 that it did not regard the offer favourably, whereupon (in terms of the offer) it was automatically withdrawn.

Within a month after that. Steam ships Trading Co, Ltd. decided to sub divide its ordinary £1 shares into 5/shares, and at the end of June the stock market, which had quoted £1 shares at 51/-, valued the 5/- shares at 13/-.

The take-over of Colyer Watson (NG) Ltd. by STC provided for the issue to Colyer Watson of 192,709 ordinary £1 shares in STC, plus an undisclosed cash payment.

Directors of Steamships Trading Co.

Ltd. joined the Board of Colyer Wat son (NG) Ltd., where Messrs. R. A. and K. L. Colyer remain as Consultant Directors.

Colyer Watson (NG) Ltd. carry on as hitherto, with its retail and other interests in Rabaul, Madang, Goroka and Lae, but as a wholly-owned sub sidiary of STC Ltd.

The take-over does not affect the Colyer, Watson companies in Aus tralia (branches in Sydney, Brisbane, Melbourne and Fremantle) and New Zealand (branches in Auckland, Well ington, Napier and Christchurch) and Japan.

No announcement has been made, and it is presumed that the method of future buying for the Colyer Watson New Guinea stores has yet to be decided.