Evening star. [volume] (Washington, D.C.) 1854-1972, 1899-02-28
CITY RAILWAYS SOLD
Metropolitan and Columbia Lines
Have Changed Hands.
MILLIONS OF DOLLARS INVOLVED
Purchases Made by Syndicate Al
ready interested Here.
CONSOLIDATION OF ROADS

1t is understood from good authority that
the deal TO which reference has been made
In The Star for the sale of the Metropoli-
tan railroad franchise was closed finally
today. The change in not only the man
agement but the ownership of this inn
portant street railroad is likely to be the
notable event In the history of street rail-
roads in this city, as well as in the record
which has been made so rapidly during
the past few months in the consolidation
of corporations doing business in this Dis
trict.
There Is no reason to change the opinion
SO generally held in financial and street
railroad circles in the city that the pur-
chasers of this property were those who
have recently acquired other local street
railroad properties, as well securing con-
trol of the two electric lighting companies,
and who. it is believed, will soon acquire
the control of the gas company.
The details of the transaction involve the
payment of millions, and is from the stand
point of the original outlay. probably the
largest single transaction of the kind that
has ever taken place here.
1t is understood that one of the terms in
the agreement for sale made by the prin-
cipal stockholders IS that every stock
holder who wishes to sell may do so at the
stipulated price to be paid for it by the
purchasers, S223 per share. If every share
holder sells at that figure it will require q
cash payment of S4.JO0,000 to complete the
transaction and close the sale of the road.
All the stockholders, however, have not
signed the agreement referred to in The
Star not to sell their stock unless all the
sgners should Sell, it being understood
however. by all the signers that the price
would be 500 per share.
Eject OF Agreement.
However. the fact that certain stock
holders may not have signed the agreement
does not leave them out. and As stated If
they should decide to dispose of their hold
ings within certain time the purchasers
are bound by their agreement to take it at
tire price given above. Owing to the rapid
advance in the quoted prices of the stock
the opinion Is held by a good many people
that il is the desire of the new owners 10
got possession of the entire issue of stock.
Including the convertible bonds. the total
amount of Metropolitan stock is calculated
to be about 20OJu shares, the par value of
which Is so. 1t is estimated that, count
ing the stock held by those who control
the road. as well as that which is repre-
sented by the SiSners of the agreement,
there are some IL 100 shares of the total
issue which be turned over at once to
the purchasers. 1t is thought that good
proportion of the outstanding amount Will
be brought in. but owing to the policy to
get all the stock the theory is held that
the price on the market has been steadily
advanced for the past few days, notably so
yesterday and today, that yesterday
shares of stock were sold the local mar
ket for S22i per share, while today the
price advanced to SIG per share.
The effect OF the quoted price OF the stock
of the Columbia railroad has been much
the same. Yesterday that stock was so
quoted at S11S per share, and today sales
were recorded a 1874.
The Columbia Also.
1t is also stated that the Columbia rail-
road. which is owned practically by the
same parties that own controlling interest
in the Metropolitan road, has been sold to
the same persons under the same conditions
that prevailed in regard to the sale of the
Metropolitan road The stock of this road
amounts to 5000 shares, the par value of
which is s@1 per share. 1t is stated that
the price agreed ito be paid is $50 per
share. which. for the entire issue, viii make
an expenditure of si21,003, so that alto
Sether the deal which was closed today
represents outlay of s5,7O,OOO
The scheme Of consolidation of street rail-
road interests which the closing of this
deal is believed to have completed has
been gradually developed. The Potomac
Electric Power Company was resurrected
a few days ago through the genius of the
activity and practical skill of Mr. o. I.
Crosby and the money of Mr.. Frederick c.
Stevens. Under these auspices the com
pany became u strong rival of the United
States Electric Lighting Company.
Other Interests.
About a year ago. through Mr. Crosby's
instrumentality, the control of the Ecking-
ton and Belt roads. as well as the proposed
electric road to Baltimore, was changed
and M. Crosby assumed charge. These
properties have now been consolidated by
act of Congress into one road. known IS
the City and Suburban, and the work of
equipPlns 1t with a modern system is now
in progress.
This fall Mr. Frederick c. Stevens hogan
d series of purchases of what are known as
the minor street railroads in the city which
resulted in his securing control of the Belt
the Anacostia, the Capital and the Bright
wood. Previous to this, however, Mr. Cros-
by had acquired control of the Georgetown
and TenleytOwn road.
1t Is now proposed to weld these various
roads into one system with modern equip
IIent and a liberal method Of transfers. and
now this recent acquisition of the Metro
poHtan gives all these roads an entrance
into the heart of the city, and rounds out
what will undoubtedly become the leading
street railroad system in the District.
If. as stated in yesterdays Star, the
Great Fails railroad is also acquired then
all the street railroads in the city, with
the exception of the Capital Traction and
its various lines. will hereafter be under
one engagement
While some of the recent purchases of
Metropolitan stock have been made by
residents of Baltimore. it is believed that
the bulk of the money which SO far has
been used In the enterprises headed by
Mr.. Stevens has come from New York and
that II Will continue to do SO in the future.
In this connection. it may b. stated that
the price of Washington gas stock reach
ed its highest figure today when it was
quoted on the local stock board at $j7 per
share.
DID NOT UNDERSTAND SPANISH.