The Pioche record. [volume] (Pioche, Nev.) 1908-1925, 1911-03-11

No details as yet have come frol
official quarters relative to the PEN
ing merger negotiations, except ths
the attorneys employed for that pu
pose are investigating titles to tn
properties involved. This task,
is understood, has been PRACTICAL
accomplished. The stockholders' NEE
ings of the Prince Consolidated al
Ohio Kentucky companies, called TO
the purpose of ratifying the deal a
far as those corporations are concern
ed are being held in Salt Lake today
hence everything is working aroun'
80 that it appears to be a matter 0
but a brief time until the last ac
toward bringing about the amalgama
ton will have been completed il
every detail following which there
will be issued an authoritative state
ment relative to the transaction a.
we'll as to the future plans of the
new Amalgamated Phoebe Mines com
pany.
The following from Goodwin's Week
ly of Salt Lake, while not bearing
the official stamp. is nevertheless,
believed to be pretty near the facts
as to the conditions upon which the
merger has been agreed to:
"Backstairs information reveals a
merger contract very different from
the terms advertised as the basis of
the Amalgamated Phoebe consolida-
tion. The terms as published were
full of blowholes and flotation foun
ed upon them would have been rid
died by the projectiles of the indie
pendent critics. The actual terms, on
the contrary, appear to be reasonable
and conservative enough to satisfy
anyone. Flaws may be discovered
when the full details are made public,
but the main structure looks substan-
tial. The initial capitalization-one
million shares-avoids common fault
Oh initiation. If watering takes place {
terWard the shareholders win be res
ponsible for the blunder Provision
Is made for mining and milling equip
ment and development by means of
convertible bonds. Six hundred hous-
and shares of Amalgamated stock
will be exchanged for the shares of
the shares of the constituent
leaving 100000 shares for
the conversion of the improvement
bonds and the purchase of additional
EXCHANGE OF SHARES
"Of the 100000 shares the Nevada
Utah will get 100000 in exchange for
Its million and half shares of cap
Ital stock and 100000 for its half in
terest In the Consolidated Phoebe. |
The Ohio Kentucky will receive 100,- |
700 shares of the merger stock for
It's half million shares of Consolidated |
Phoebe, its only asset, and the Prince
100000 in exchange fer
ts million share capital. Thus three
and half million shares of stock |
will be. boiled down to 100000. Tht
tendency toward unwieldy capital
zation Is reversed and the aggregate
put at figure that will allow div
dends on moderate earnings. The |
terms outlined above may not be ex-
come from unofficial sourc-
ss-but they are undoubtedly much |
nearer the truth than the earlier
'orecast.
PIOCHE KING MENTIONED
AZ casual examination of the hold |
ngs now being transferred to the
Amalgamated Phoebe discloses n,
attempt to 'holdout,' one of the fea- |
lures that made the terms first pre-
licted so obnoxious. Everything down |
% the last pick, shovel and rail
'oad spike apparently is going into
he merger and there is rumor lack
ng little Of being authoritative that |
he Phoebe King will be acquired |
very soon after the merger goes in
% effect. Whether this will be done
With bunch of stock from the treas
my, out Of the proceeds of the bond
ssue or by the sale of some of the
irrelevant Utah possessions of the
Nevada Utah is not disclosed by
the rumor. The bond issue of Anal
mated will have face value of J
B50O, ,O00,It is understood to have been
by strong banking inter-
ests in New York whose insistence
that every title be verified and ev-
cry act Of the stockholders certified
under a big red seal is responsible
'or the delay in launching the merg-1
ed company. Although it is hollow
the meeting of the Prince