The Sun.
London, England, 1853-07-05 00:00:00

CRYSTAL PALACE COMPANY.

A special meeting of this company was held yesterday
at the London Tavern, for the purpose of authorising
the directors to raise 250,0001. by the issue of new
shares ' • Mr. S. Laing, M.P., in the chair.
The following report of the directors was submitted :

" The object of this meeting is to-consider the financial
arrangements for raising the remaining capital required
for the purposes of the undertaking. At the last general
meeting it was stated, that the capital authorised by the
deed of settlement and charter was 500,0001. of share capi-
tal, and 166,6661. 6s. Bd. of loan capital, making, together
with 51,0001. profit on land, a total of 717,6661. Os. Bd.,
and that as far as was then seen (the principal contracts
being let) this amount of capital would be sufficient.
The works being now further advanced, the directors are
able to repeat with more confidence their belief that no
material excess in this estimAte will be incurred, although
the postponement of the opening until next year will of
course entail some expenses which had not been anti-
cipated. The question, therefore, before the meeting will
not be as to providing extra capital to meet unforeseen
expenditure, but as to the raising that capital which had
been foreseen and included in the previous estimates. The
deed of settlement and charter, as already stated, gives a
power of raising money by mortgage or loan to the
extent of 166,6661. Os. Bd., and also of creating new share
capital to any extent not exceeding 500,000/. ; such power
of being exercised by resolutions of a general meeting of
the proprietors, and with the approval of the Board of Trade,
whose assent has been already signified. While the original
shares were at a discount the exercise of the borrowing power
appeared preferable to the creation of new shares, which
could only have been issued with some guarantee or pre-
ference ; but now that the favourable state of public
opinion with regard to the undertaking has raised the
original shares to a considerable premium, the question has
assumed a different aspect. On the one hand it is un-
doubtedly a saferbasis for an undertaking of this description
to have all its capital on an equal footing, without any
debt, preference charge, or other liability ; while, on
the other hand, the creation of new shares, instead
of being a burden on the original proprietors, becomes
a benefit to which they are entitled. Accordingly, the
directors recommend that the additional capital should be
raised by the issue of new shares, instead of by the exer-
cise of the borrowing powers; and for this purpose they
proposethat 50,000 new shares, of 51. each, should be created,
to be offered among the present holders, in the proportion
of one new share for every two original shares. They pro-
pose that the first payment on these shares shall be 11. 10s.,
to be made on allotment, and that a further payment of
1/. per share shall be made in October next. Any calls
beyond 21. 10s. per share will be regulated by the ultimate
expenditure, and in the event) of the whole amount not
being required the new shares will take equal dividend on
the amount called up. As regards the ultimate prosperity
of the undertaking, the directors have only to add their
conviction that everything is tending to a favourable re-
sult ; and that as the structure rises, and the magnificent
plans of Sir Joseph Paxton and his able associates become
developed, public interest in this great national enterprise
is being awakened to an extent which cannot fail to insure
complete success."

The CHAIRII6.N, in moving the adoption of the report,
said, that the ordinary general meeting of the company
would be held in August, when they would have an ac-
count of the receipts and expenditure laid before them.
He believed that the expenditure at present amounted
to about 490,0001. He read a report from Sir J. Pax-
ton on the state of the works, from which it appeared
that the accident which had lately occurred at the west
transept in consequence of the scaffold having been
blown down involved a loss on the contractor of about
2,0001. The damage had been made good, and the
works generally were progressing favourably. The ex-
ternal works would be completed before the end of the
year, and they would have the winter to finish up the in-
terior, so that they had no doubt whatever that the build- '
ing would be opened to the public on the Ist of May.
With regard to the prospects of the undertaking he (the
chairman) thought the less said about them the better ;
they were now going on favourably, they had had a great
number of visitors, and the objects of the undertaking
were becoming every day more extensively known and
appreciated. There was another matter in which they
were interested : it was the letting of the spare room in
he building, and he was informed by. Mr—Belcher-that
the whole of the spaco would be let in a few months, and
that he (Mr. Belcher) was confident that 100,000/. would
be received for space in the building during the first
year. (Hear, hear.) He concluded by moving a reso-
lution adopting the report and authorising the directors
to raise 250,0001. in conformity with the recommenda-
tion in the report, the proportion of new shares being
one for every two of the existing shares in the company.
Mr. Alderman WILSON thought it would be a great
convenience if persons were allowed to pay up the new
shares in full.

After a few observations from other proprietors the
resolution was put and carried unanimously.
The proceedings concluded with a vote of thanks to
the chairman and directors.