Note: This text has been automatically extracted via Optical Character Recognition (OCR) software.
Ar01500
hold throughout the Colony will rise wifch a bound to an amonnt fco which ifc is difficult fco assign a limit . " The Hon . Robert St ^ nfc , one of fche Commissioners of tho Land Board of Otago , late Attorney-General of Now Zealand , and now-Premier , reported on fche 24 fch May 1884 as follows , on the Southland
portion of Otago : — " Southland will , I believe , one day be the finest district of fche Colony for mixed farming . " The average product of cereals per acre in Otago and Southland is greater even than in tho famous Canterbury district of New
Zealand . An idea of the value of good land in the latter district may ho formed from recent valuations received throusrh one of the leading New Zealand banks , which were as follows : — £ 6 to £ 35 per acre ; and for potato land £ 50 per aero ( letting from £ 3 to £ 4 per
aero ) ; ancl in tho Ashbnrton district £ 5 10 s fco £ 13 per acre . The Otago and Southland Investment Company , Limited , ( reg isterod in England ) has paid dividends averaging 12 ^ per cent , during the last four years . The Reserve Fund is over £ 78 , 000 , and the shares stand afc 87 £ per cent , premium .
WHEAT AND OTHER CROPS . A Report on whioh the Vendor purchased tho Estate states , in describing the land , "The soil is a good depth , and very rich , and is capable of producing heavy crops of both grass , grain , and root crops . " If the price of wheat rises to any great extent it miehfc be
advisable to grow crops on some part of the Estate ; in which case the Vendor believes that the results , with average good harvests , would soon repay the purchase-money of snch portion . The average y ield per a ^ re of corn in Southland and Otago exceeds that of any other district in New Zealand , or anv other country in the world .
The average yield per acre , taken from statistics , is as follows : — For years 1873-1883 , Otago and Southland 81-2 bushels per acre ; Now Zealand genei-all y , 26 ' 3 . In Manitoba and the North . Wesfc Territories of Canada 27 for 1877-1880 . In the United Kingdom ifc
was 26 " 5 for 18 years ending 1883 ; Australasia ( excepting New Zealand ) 12 " 86 for 1873-1883 . In the United States of America it was 1215 for 18 S 2-83 , and iu Russia 5 " 5 for 1872-73 . As compared with the other Australasian Colonies , New Zealand stands for Potatoes in the proportion of 5 " 12 to 3 ' 03 tons per acre .
BRITISH CONSUMPTION OF IMPORTED MUTTON . On the question of popula'ion and meat snpplv , Mr . M . G . Mulhall , F . S . S . ( aufchcrof " Balance-sheefc of the World " ) , in his " England ' s New Sheep Farm , " a ft ^ r tabulating the numbers of inhabitants and cattle in the United Kingdom in 1882 , writes : — " Hence we may
expect in 1896 to have a population of 42 or 43 millions , and to prodoce only as much meat as will feed onr inhabitants for five months in the year . Our importation will then exceed a million tons yearly , the bulk of which must necessarily come from the Australian Colonies . "
In an article on the British Beef question the St . James ' s Gazette of 1 st March 1886 , after remarking that it has been estimated that the British consumption of mutton averages $ lb . per head per week , and on that basis the annual consumption wonld be i-atber more than 400 , 000 tons of mutton , concludes as follows : —
" American and Canadian Cattle rule Glasgow , as the frozen mutton of Neiu Zealand is beginning to rule Smithfield . " The total importations from New Zealand in the 4 years 1882-85 amounted to 994 . 754 carcases as agnitist 336 , 109 from Australia in the 6 years 1880-85 . The demand for New Z-raland mutton has
increased so considerably that it will probably ont a frip the supply . New Zealand mutton commands in London a much hiviher price than Australian or River Plate mutton . Salesmen of the London Central and Leadenhall Meat Markets are now erecting extensive Refrigerators to avoid forced sales . Some are already constructed and in nse .
There are works for freezing on the wharf at the shipping port , the Bluff ; besides which Messrs . Shaw , Savill and Co . Limited , have many sailing vessels for the London trade speciall y fitted with refri gerating apparatus to freeze carcases on board . For the purposes of estimating profits as below mentioned , an
average wholesale price has been assumed of 5 d per Ib . for mutton , as against 6-id per lb ., the average price for the last three years in the Metropolitan Meat Market . Lamb has been taken at an estimated price of 9 d per lb . The following opinion from Messrs . Brooke and Co ., Commission
Salesmen , of Leadenhall Market , confirms this estimate of future prices : — " Having regard to the increasing favour wifch which New Zealand mutton is received in England , we think that 3 s 4 d or 3 s 6 d per
stone ( of 8 lbs ) , thafc is 5 rl or 5 £ d per lb . for mutton , and 6 s or 6 s 4 d Per stone , thafc is 9 d or 9 Jd per lb . for lamb , will be fair average Prices for estimating purposes over the next few years , especiall y in view of the annually increasing consumption . ( Signed ) G . F . BROOKE & Co ., Limited . G . F . BROOKE . "
WOOL . The price of Merryvale wool from 1877 to 1885 averaged about * ° J d per pound ; in estimating the profits it is taken at 8 d , for year 1886-87 , aud afterwards afc 9 d . Crose-bred wools have recently proved steadier than Merinos , and Bofc liible
to so much fluctuation , as parfclv shown b y Messrs Jacomb , f > ons & Co . ' a Wool report of 31 st December 1885 , which stated that , ° av erage values of Merino Wool ? then stood afc from 20 fco 25 per cent , below the currency afc the corresponding time of 1884 , and at the coarser Cross-breds had only suffered 5 to 7 per cent . erryvalo & heep are cross-breds , except a proportion of Merinos for tossing th « breed .
A loading article in the Standard of 10 th March 1886 , on the con . a 'tion of Trade , says : — after ' tvf iS fcem , 1 ' £ "pwards , and wool can hardly hel p doing so , nrni „„ , fearf ul havoc wrought among Australian sheep by the Pronged scarcity of rain . "
Ar01501
TEEMS OF PURCHASE AND TRANSFER OF ESTATE . Tho Vendor purchased this Estate on fcho strong recommendation of his Agent , Mr . G . J . A . Richardson , of Burnham , Essex , au experienced agriculturist , who was engaged for several months in 1884 , on his behalf , in prospecting and reporting fco him on various
properties in Now Zealand . His subsequent detailed Report of 30 fch January 1885 , was fully confirmed by an experience 1 Colorrial valuer . These Reports and the Vendor ' s own opinion , after personal inspection , alt warranted the conclnsion thafc fche Estate was " the pick of Southland , " and the terms of purchase extremely favourable .
Mr . Ashbury s intention in purchasing the Estate was occasionall y to reside there ; bufc partly in consequence of the large addition of capital required to develop the Estate , and the Timber , Stone , and other industries , and to construct a short railway or tramway , he has decided to transfer it to a Joint Stock Company , retaining a
large interest in shares . Towards the construction of the proposed railway or tramway , the Government and adjoining landowners may be expected to
oonfcributo largely . A letter recently received from the Vendor a Agent at Merryvale says : — " A railway can be made through the property , for which the Government has offered valuable concessions . "
Tho price at which the Vendor pnrchased the Estate ia March 1885 was £ 120 , 000 , and tbe stock , & c , at £ 17 , 175 13 s ld . Portions of the purchase money remained on Mortgage . Tho Company is fco pnrchase the Estate ( except a moiety of the gold rights ) at the above-mentioned price of £ 120 , 000 ; the stock , afc
their cost price per head , and to take over fche mortgages , the parti , culars of which are stated in the Agreement . Permanent additions and improvements since 23 rd March 1885 , to be paid for at cost price . Outgoings and incomings before 31 st March 1886 to belong to and be paid by the Vendor ; afterwards to and by the Company .
Lambs ancl other produce of tho Estate during the past year to be taken over at current wholesale price . Tho amonnt of cash paid in respect of purchase money by the Vendor , and capital expended by him as above , to be paid to him in fully paid ordinary shares , plus £ 5 , 000 in cash , out of which he will
pay all expenses and commissions relating to the establishment of the Company and" tbo purchase . If the Mortgages are arranged to be continued , it may not be necessary fcr some time to call up the shares beyond £ 3 per share .
The Vendor will pass a portion of each of the first throe years in New Zealand as Managing Director , without receiving remuneration for such services , beyond the usual Director ' s fee , until a dividend of at least 7 per cent , has been earned . The amount will then be
left to be settled by the Company in General Meeting . Moneys received from calls and remaining unexpended may be placed on deposit account at the Company ' s bankers in New Zealand at the current rate of interest for deposits . This recently was abonfc 6 per cent , per annum .
DEBENTURES . Tho Debentures will be constituted a charge on tbe undertaking and property cf the Company ( including uncalled capital ) , subject only to the existing mortgages ; and the proceeds of the Issue will be payable to the Trustees , aud be applicable exclusivel y in redemption
of such mortgages . On these being satisfied , the debentures will become a first charge on the property of the Company . The debenture moneys are payable to the Bankers of the Trustees
as follows : — £ 5 on application , £ 15 on allotment , the balance within 12 months by instalments of £ 10 each . Interest runs from payment . The debentures will be payable to Bearer , and will have coupons attached fur interest also payable to Bearer half-yearl y .
Excluding future receipts from timber , stone , & c , and fche possible revenue from gold , the main sources of income will be the sale of wool , of sheep for local consumption , ancl of frozen mutton for London .
The Vendor estimates that in abonfc three years , when the pasturage portion of the Estate is fully under cultivation , it will be capable of carrying 60 , 000 sheep , and a dividend of abonfc 15 per cent , per annum may bo expected ; in the meantime , that the dividends will average 9 per cent , on an assumed capital
expenditure of £ 200 , 000 . The dividends may be increased by buying store sheep and fattening them for export to tbe London market . When the timber , stone , aud other industries are developed , the dividends shonld be further and largely increased . The Regisrered Office of the Company will be in London .
Apolication will be made for quotations of the Shares and Debentures on tho London Stock Exchange , and in New Zealand . Tho only Agreement entered into by or on behalf of the Company is an agreement dated the 15 th day of May 1886 , made between Mr . James Ashbury and John Delillo as Trustee for fche Company .
Tho following Documents may bo seen at the Offices of fche Solicitors , viz .: A copy cf the above-mentioned Agreement , and of tho Articles of Association , and copies of the present Vendor ' s Purchase Agr ecrnent , and of the three Reports on the Estate referred to in this Prospectus . In the event of no allotment being made , all payments on application will be returned in full .
Application for shares or debentures to be made to the Bankers on the form supplied , and all further information may bo obtained from Messrs . Chadwicks , Boardman and Co ., 36 Co ' eman Street , E . G ., and 64 Cross Street , Manchester , and at the Offices of the Company . By order , JOHN DELILLE , Secretary ( pro tern ) . 17 Great George Street , London , S . W . 15 th May 1886 .
Note: This text has been automatically extracted via Optical Character Recognition (OCR) software.
Ar01500
hold throughout the Colony will rise wifch a bound to an amonnt fco which ifc is difficult fco assign a limit . " The Hon . Robert St ^ nfc , one of fche Commissioners of tho Land Board of Otago , late Attorney-General of Now Zealand , and now-Premier , reported on fche 24 fch May 1884 as follows , on the Southland
portion of Otago : — " Southland will , I believe , one day be the finest district of fche Colony for mixed farming . " The average product of cereals per acre in Otago and Southland is greater even than in tho famous Canterbury district of New
Zealand . An idea of the value of good land in the latter district may ho formed from recent valuations received throusrh one of the leading New Zealand banks , which were as follows : — £ 6 to £ 35 per acre ; and for potato land £ 50 per aero ( letting from £ 3 to £ 4 per
aero ) ; ancl in tho Ashbnrton district £ 5 10 s fco £ 13 per acre . The Otago and Southland Investment Company , Limited , ( reg isterod in England ) has paid dividends averaging 12 ^ per cent , during the last four years . The Reserve Fund is over £ 78 , 000 , and the shares stand afc 87 £ per cent , premium .
WHEAT AND OTHER CROPS . A Report on whioh the Vendor purchased tho Estate states , in describing the land , "The soil is a good depth , and very rich , and is capable of producing heavy crops of both grass , grain , and root crops . " If the price of wheat rises to any great extent it miehfc be
advisable to grow crops on some part of the Estate ; in which case the Vendor believes that the results , with average good harvests , would soon repay the purchase-money of snch portion . The average y ield per a ^ re of corn in Southland and Otago exceeds that of any other district in New Zealand , or anv other country in the world .
The average yield per acre , taken from statistics , is as follows : — For years 1873-1883 , Otago and Southland 81-2 bushels per acre ; Now Zealand genei-all y , 26 ' 3 . In Manitoba and the North . Wesfc Territories of Canada 27 for 1877-1880 . In the United Kingdom ifc
was 26 " 5 for 18 years ending 1883 ; Australasia ( excepting New Zealand ) 12 " 86 for 1873-1883 . In the United States of America it was 1215 for 18 S 2-83 , and iu Russia 5 " 5 for 1872-73 . As compared with the other Australasian Colonies , New Zealand stands for Potatoes in the proportion of 5 " 12 to 3 ' 03 tons per acre .
BRITISH CONSUMPTION OF IMPORTED MUTTON . On the question of popula'ion and meat snpplv , Mr . M . G . Mulhall , F . S . S . ( aufchcrof " Balance-sheefc of the World " ) , in his " England ' s New Sheep Farm , " a ft ^ r tabulating the numbers of inhabitants and cattle in the United Kingdom in 1882 , writes : — " Hence we may
expect in 1896 to have a population of 42 or 43 millions , and to prodoce only as much meat as will feed onr inhabitants for five months in the year . Our importation will then exceed a million tons yearly , the bulk of which must necessarily come from the Australian Colonies . "
In an article on the British Beef question the St . James ' s Gazette of 1 st March 1886 , after remarking that it has been estimated that the British consumption of mutton averages $ lb . per head per week , and on that basis the annual consumption wonld be i-atber more than 400 , 000 tons of mutton , concludes as follows : —
" American and Canadian Cattle rule Glasgow , as the frozen mutton of Neiu Zealand is beginning to rule Smithfield . " The total importations from New Zealand in the 4 years 1882-85 amounted to 994 . 754 carcases as agnitist 336 , 109 from Australia in the 6 years 1880-85 . The demand for New Z-raland mutton has
increased so considerably that it will probably ont a frip the supply . New Zealand mutton commands in London a much hiviher price than Australian or River Plate mutton . Salesmen of the London Central and Leadenhall Meat Markets are now erecting extensive Refrigerators to avoid forced sales . Some are already constructed and in nse .
There are works for freezing on the wharf at the shipping port , the Bluff ; besides which Messrs . Shaw , Savill and Co . Limited , have many sailing vessels for the London trade speciall y fitted with refri gerating apparatus to freeze carcases on board . For the purposes of estimating profits as below mentioned , an
average wholesale price has been assumed of 5 d per Ib . for mutton , as against 6-id per lb ., the average price for the last three years in the Metropolitan Meat Market . Lamb has been taken at an estimated price of 9 d per lb . The following opinion from Messrs . Brooke and Co ., Commission
Salesmen , of Leadenhall Market , confirms this estimate of future prices : — " Having regard to the increasing favour wifch which New Zealand mutton is received in England , we think that 3 s 4 d or 3 s 6 d per
stone ( of 8 lbs ) , thafc is 5 rl or 5 £ d per lb . for mutton , and 6 s or 6 s 4 d Per stone , thafc is 9 d or 9 Jd per lb . for lamb , will be fair average Prices for estimating purposes over the next few years , especiall y in view of the annually increasing consumption . ( Signed ) G . F . BROOKE & Co ., Limited . G . F . BROOKE . "
WOOL . The price of Merryvale wool from 1877 to 1885 averaged about * ° J d per pound ; in estimating the profits it is taken at 8 d , for year 1886-87 , aud afterwards afc 9 d . Crose-bred wools have recently proved steadier than Merinos , and Bofc liible
to so much fluctuation , as parfclv shown b y Messrs Jacomb , f > ons & Co . ' a Wool report of 31 st December 1885 , which stated that , ° av erage values of Merino Wool ? then stood afc from 20 fco 25 per cent , below the currency afc the corresponding time of 1884 , and at the coarser Cross-breds had only suffered 5 to 7 per cent . erryvalo & heep are cross-breds , except a proportion of Merinos for tossing th « breed .
A loading article in the Standard of 10 th March 1886 , on the con . a 'tion of Trade , says : — after ' tvf iS fcem , 1 ' £ "pwards , and wool can hardly hel p doing so , nrni „„ , fearf ul havoc wrought among Australian sheep by the Pronged scarcity of rain . "
Ar01501
TEEMS OF PURCHASE AND TRANSFER OF ESTATE . Tho Vendor purchased this Estate on fcho strong recommendation of his Agent , Mr . G . J . A . Richardson , of Burnham , Essex , au experienced agriculturist , who was engaged for several months in 1884 , on his behalf , in prospecting and reporting fco him on various
properties in Now Zealand . His subsequent detailed Report of 30 fch January 1885 , was fully confirmed by an experience 1 Colorrial valuer . These Reports and the Vendor ' s own opinion , after personal inspection , alt warranted the conclnsion thafc fche Estate was " the pick of Southland , " and the terms of purchase extremely favourable .
Mr . Ashbury s intention in purchasing the Estate was occasionall y to reside there ; bufc partly in consequence of the large addition of capital required to develop the Estate , and the Timber , Stone , and other industries , and to construct a short railway or tramway , he has decided to transfer it to a Joint Stock Company , retaining a
large interest in shares . Towards the construction of the proposed railway or tramway , the Government and adjoining landowners may be expected to
oonfcributo largely . A letter recently received from the Vendor a Agent at Merryvale says : — " A railway can be made through the property , for which the Government has offered valuable concessions . "
Tho price at which the Vendor pnrchased the Estate ia March 1885 was £ 120 , 000 , and tbe stock , & c , at £ 17 , 175 13 s ld . Portions of the purchase money remained on Mortgage . Tho Company is fco pnrchase the Estate ( except a moiety of the gold rights ) at the above-mentioned price of £ 120 , 000 ; the stock , afc
their cost price per head , and to take over fche mortgages , the parti , culars of which are stated in the Agreement . Permanent additions and improvements since 23 rd March 1885 , to be paid for at cost price . Outgoings and incomings before 31 st March 1886 to belong to and be paid by the Vendor ; afterwards to and by the Company .
Lambs ancl other produce of tho Estate during the past year to be taken over at current wholesale price . Tho amonnt of cash paid in respect of purchase money by the Vendor , and capital expended by him as above , to be paid to him in fully paid ordinary shares , plus £ 5 , 000 in cash , out of which he will
pay all expenses and commissions relating to the establishment of the Company and" tbo purchase . If the Mortgages are arranged to be continued , it may not be necessary fcr some time to call up the shares beyond £ 3 per share .
The Vendor will pass a portion of each of the first throe years in New Zealand as Managing Director , without receiving remuneration for such services , beyond the usual Director ' s fee , until a dividend of at least 7 per cent , has been earned . The amount will then be
left to be settled by the Company in General Meeting . Moneys received from calls and remaining unexpended may be placed on deposit account at the Company ' s bankers in New Zealand at the current rate of interest for deposits . This recently was abonfc 6 per cent , per annum .
DEBENTURES . Tho Debentures will be constituted a charge on tbe undertaking and property cf the Company ( including uncalled capital ) , subject only to the existing mortgages ; and the proceeds of the Issue will be payable to the Trustees , aud be applicable exclusivel y in redemption
of such mortgages . On these being satisfied , the debentures will become a first charge on the property of the Company . The debenture moneys are payable to the Bankers of the Trustees
as follows : — £ 5 on application , £ 15 on allotment , the balance within 12 months by instalments of £ 10 each . Interest runs from payment . The debentures will be payable to Bearer , and will have coupons attached fur interest also payable to Bearer half-yearl y .
Excluding future receipts from timber , stone , & c , and fche possible revenue from gold , the main sources of income will be the sale of wool , of sheep for local consumption , ancl of frozen mutton for London .
The Vendor estimates that in abonfc three years , when the pasturage portion of the Estate is fully under cultivation , it will be capable of carrying 60 , 000 sheep , and a dividend of abonfc 15 per cent , per annum may bo expected ; in the meantime , that the dividends will average 9 per cent , on an assumed capital
expenditure of £ 200 , 000 . The dividends may be increased by buying store sheep and fattening them for export to tbe London market . When the timber , stone , aud other industries are developed , the dividends shonld be further and largely increased . The Regisrered Office of the Company will be in London .
Apolication will be made for quotations of the Shares and Debentures on tho London Stock Exchange , and in New Zealand . Tho only Agreement entered into by or on behalf of the Company is an agreement dated the 15 th day of May 1886 , made between Mr . James Ashbury and John Delillo as Trustee for fche Company .
Tho following Documents may bo seen at the Offices of fche Solicitors , viz .: A copy cf the above-mentioned Agreement , and of tho Articles of Association , and copies of the present Vendor ' s Purchase Agr ecrnent , and of the three Reports on the Estate referred to in this Prospectus . In the event of no allotment being made , all payments on application will be returned in full .
Application for shares or debentures to be made to the Bankers on the form supplied , and all further information may bo obtained from Messrs . Chadwicks , Boardman and Co ., 36 Co ' eman Street , E . G ., and 64 Cross Street , Manchester , and at the Offices of the Company . By order , JOHN DELILLE , Secretary ( pro tern ) . 17 Great George Street , London , S . W . 15 th May 1886 .