asked the Minister for Industry and Commerce whether he is aware that an Irish company proposes to issue a share bonus of 12 new "A" ordinary shares of 5/- each in respect of each £1 ordinary share to existing shareholders; and, if so, whether he will investigate the present fiscal and statutory protection enjoyed by this firm with a view to considering whether the relative interests of consumers and monopolists in cutlery are being equitably served.
Ceisteanna—Questions. Oral Answers. - Company's Issue of Shares.
I understand that the company concerned propose to make an issue of shares to secure additional capital to finance extensions and increased stocks. The shares are to be issued at par, and there is no question of a bonus issue. In the circumstances the second part of the Deputy's question does not arise.
Has the Minister examined the present Stock Exchange quotation for the shares and the prospective dividend that they are to receive?
There is no question of bonus shares. The shares are issued for cash.
If the shares are selling on the Stock Exchange at a premium and the dividend to be paid is forecast to be of such a dimension that it would command a premium, surely it is a very substantial bonus to offer them at par in the relation of four to one to the existing shareholders?
The latest Stock Exchange quotation for the £1 shares is 20/6.