"The LIST will CLOSE on or before Tuesday for town, and noon on the following day for country.
ARCHIBALD ARROL & SONS LIMITED (With which is incorporated the business of Mr. John Meikle, of Newcastle-on-Tyne).
Debenture Stock £200,000
Share Capital £250,000
The First Mortgage Debenture Stock will be redeemable, at the Company's option, on or after the 1st July, 1915, at 110 per cent.
SHARE CAPITAL.
10,000 Ordinary Shares of £10 each £100,000
15,000 5.5 per cent Cumulative Preference Shares of £10 each 150,000
The vendors take the whole of the Ordinary Shares and one third of the Preference Shares in part payment of the purchase money.
The National Provincial Bank of England Limited, Bishopsgate-street, London, E.C., and Newcastle-on-Tyne, and the Commercial Bank of Scotland Limited, Glasgow, are authorised by the directors of the company to receive applications at the price of £104 per cent for £200,000 in Four-and-a-Half per Cent First Mortgage Debenture Stock, and at par for £100,000 in Five-and-a-Half per Cent Cumulative Preference Shares of £10 each, payable as follows :—
|
Debenture Stock. |
Preference Shares. |
On Application |
£10 per cent |
£1 per Share. |
„ Allotment |
40 „ „ |
4 „ ~ „ |
July 10th. 1895 |
54 „ „ |
5 „ |
|
£104 |
£10 |
Trustees for the First Mortgage Debenture Stock.
Charles Harvey Combe, Esq., M.P. (of the firm of Combe and Co., limited, Brewers).
Sir John Nedson Cuthbertson (Director Extraordinary of the Commercial Bank of Scotland, Limited).
John Albert Black, Esq. (of the firm of John Black and Co., Shipowners), 26, Bothwell-street, Glasgow.
DIRECTORS.
William A. Arrol, { Sole partners in the firm of
Walter Arrol, { Archibald Arrol & Sons,
Archibald Tower Arrol, { Glasgow and Alloa.
John Meikle, Newcastle-on-Tyne.
BANKERS.
The National Provincial Bank of England Limited, Bishopsgate-street, London, E.C., Newcastle - on - Tyne, and Branches.
The Commercial Bank of Scotland Limited, Glasgow, London, and Branches.
SOLICITORS.
Slaughter and May, 18, Austin Friars, London, E.C. McClure, Naysmith, and Co., Glasgow, N,B.
BROKERS.
Pimm, Vaughan, and Co., 1. Drapers' gardens, London, E.C.
AUDITORS.
Henry Graham, Smyrke, and Co., chartered accountants, Sunderland.
SECRETARY AND OFFICES.
C. J. Andrews, 18, Austin Friars, London, E.C. ; 14, Bigg Market, Newcastle-on-Tyne ; and 16, Dixon-street, Glasgow.
ABRIDGED PROSPECTUS.
This company has been formed to take over the well-known brewery business of Messrs. Archibald Arrol and Sons, which was established at Alloa in the year 1810, and to incorporate with it the business of Mr. John Meikle, of Newcastle-on-Tyne, and to acquire from him and from Mr. William Turnbull, of Noweastle-on-Tyne, 40 Freehold and Leasehold Hotels, Public-houses, and other Licensed Properties held therewith.
The Newcastle properties have recently been valued by Messrs. A. T. and E. A. Crow, valuers, of Sunderland, and Mr. Ralph Hindmarsh, valuer, of Newcastle-on-Tyne ; and the Scotch property by Messrs. Russell and Spence, of Glasgow, whose reports are embodied in the full prospectus.
The Mortgage Debenture Stock will be secured by a first mortgage on all the freehold and leasehold properties of the company, and generally on its business and undertaking.
The assets of the company comprise:—
|
£ s. d. |
£ s. d. |
Freehold properties and fixed plant at Alloa and in and near Newcastle-on-Tyne, valued at |
271,210 0 0 |
|
Copyhold and long leasehold premises and fixed plant. &c, in and near Newcastle-on-Tyne, valued at |
33,150 6 0 |
|
Short leaseholds and fixed plant, valued at |
6,640 0 0 |
|
|
|
311,000 0 0 |
Stock-in-trade, movable plant, casks, rolling stock, &c. guaranteed by the vendors at |
56,364 0 0 |
|
Loans, book debts, &c, cash at bankers, and additional working capital, guaranteed by the vendors at |
43,912 19 6 |
|
|
|
105,276 19 6 |
Total |
|
£416,276 19 6 |
Of the £311,000, a sum of less than £20,000 represents the value of fixed plant, and the directors are satisfied that the £105,276 19s. 6d. representing the working capital of the company is amply sufficient for the purpose.
The books of the firm have been examined by Messrs. Henry Graham, Smyrke, and Co., chartered accountants, of Sunderland, who report as follows:—
"We have examined the accounts of Messrs. Archibald Arrol and Sons, of Glasgow and Alloa, for the three years ending 30th June. 1894, and the accounts of Mr. John Meikle and of Mr. William Turnbull, both of Newcastle-on-Tyne, for the three years ending 31st December, 1894 (the dates at which the respective financial years end). And we hereby certify that the average annual profits for the period after excluding all charges for interest, but providing for depreciation, amounted to £20,135 2s. 3d., and that the last year's profits were £20,485 13s. 5d. We also certify that if during the above-named period the Scotch beers purchased annually by Mr. Meikle and Mr. Turnbull had been purchased from Messrs. Arrol, the average net profits would have been £26,883 18s. 3d. Pr annum. We further certify that we have examined the book debts, loans, and interest (including sundry investments at the price of the day) belonging to Messrs. Archibald Arrol and Sons, and after making ample allowances for possible losses and discounts we estimate them to be of the value of £38,912 19s. 6d."
The price to be paid by the company for the purchase of the whole of the above-named businesses, assets, and goodwill, the whole being taken over as a going concern as from June 1st, 1895. has been fixed by the vendors, Messrs. Archibald Arrol and Sons, at the sum of £458,000.
The terms of sale are embodied in three contracts. For details see full prospectus.
Full prospectuses and forms of application may be obtained at the company's office, and of the bankers, brokers, and solicitors."
Manchester Courier and Lancashire General Advertiser - Monday 27 May 1895, page 1.
There's a lot to consider in there. It's more complicated than the usual launch because two firms were being merged into one limited company: Archibald Arrol & Sons and John Meikle's Newcastle business.