The sun., 1901-07-25
PnAN OF BANK MERGER.
yznsr xASzoxALy SlD yos CONTROL
~ BANK OF THB R1PUBLlC.

N eve oaSS DAars Ter tAs LaetsrS stssk
. Ous sAass e NJ Own fer I've q The
OsAss. RrsviAsa n Can Aeasiss Ne Les
nan Tws-Thirls q the Tstal stock.
yesmal announcement Of the plan Of the
yfrst Nstioual Bank 10 acquire the National
Bank Of the Republic was made yesterday
IN oir0ulss OF the directors Of the Bank OF the
Yeuuhlie SAINT 10 their stockholders. Fol-
leWhs 70 the circular:
"A uroposltion has been made to the under
sisned BIZ Mr.. George Y. Baker. President
Of the First National Bank Of Now York. to
purchase the capital stock Of the National
Bank Of the Republic OF New York. on the
: following basis. provided that shareholders
ovuins no less than two-thirds OF the stock
aoespt and deposit the same with this bank
on or before Aug. 1, 1901. viz: s27s cash Tor
each share OF this banks stock. or one share
OF the First National Bank Of New York for
tvo shares Of the National Bank OF the Re-
public Of New York.
As members OF the Board OF Directors
and - individual shareholders We have as
ssnted. pending your acceptance. In order
tAas al shareholders may have the privilege
e participating on equal terms; and We
reeomDend the acceptance Of the proposition
e aAvsntageous. Signed George B. Car
hasA Summers r. Stone. Charles h. Flint.
Wnliam Barbour. James A. Blair. Charles
Parsons, Anson r. Flower. c. and II. Macy.
Charles II. Stout"
II u understood that the issuance OF the
circular marks tho actual requirement by
The First National Bank interests OF . con-
trolling interest In the National Bank OF the
Republic. The last named bank. whose
quarters are In the same building and adjoin
those Of the First National Bank. 10 ex
peeted to go into voluntary liquidation. its
deposits to be thrown 80 far az possible to
the First National Bank. The officers and
clerks Of the Bank OF the Republic will be
taken into the service OF the First National
whose business is expected to increase
enough to give employment to ALL The
Board of Directors OF the First National
may be increased to permit OF representa-
ton Of the new stoekholdinY Interest," ,s sn,,
district yesterday as the result OF sale at
auction at the Real Estate Salesroom OF nine
shares OF the stock OF the National Bank OF
the Republic at what was considered the
remarkable price of $500 a share The offlcial
circular offers only s275 share for the stock
on the part Of the First National BANK. .aSa aGa
has been quoted in the curb market at but
500 share. IL was pointed out that II the
stock bought at the auction t hsd @ been bought
was about, then the quoted price on the curb
for the new First National stock was entirely
TOO low Vice-President Iline OF the First
National Bank, when told Of the auction price.
looked incredulous but when assured that 10
was fact said IF any one has paid that price
he got stuck
Various theories were promulgated in
Wall Street to account for the high price.
It was suggested that the purchase had been
nade by interests inimical to the carrying
through of the proposed merger and who
intended to fight IT, or that the stock had
been bought by the First National Bank
Interests who needed the nine shares 70 make
sure Of the consent of two-thrds OF the stock
TO the proposed merger. Another theory
was that 1t represented an attempt at bulhsh
manipulation of the price Of Bank OF the Re-
public stock and that II merely represented
the mistake OF buyer, who had AN incorrect
idea as to term ms under which the First National
buys the stock OF the Bank Of the Republic.
fhe buyer OF the stock q the auction was
agent. for Immediately after the sale more
shares we're offered to him. but from his
reply he was evidently not in a position TO
buy without consultation with third party.
He has been seen before at auction sales OF
bank stocks.