NEW CAPITAL ISSUES.
Naturally and inevitably the rise in Government Stocks has given a further stimulus to new capital creations and to fresh conversion operations. Among the latter the feature of the past week has been the announcement of another Australian Conversion Loan. Thanks to the great ease in money, and the rise in Government Stocks, Australian credit has now been raised almost to a 8l- per cent. basis. The Loan offered last week dealt with maturing obligations amounting to nearly £15,000,000, some of them carrying as high a rate of interest as 4, and even 5, per cent. Holders of these obligations have been offered conversion into a new 3f per cent. Stock at the price of 99. Cash applications were also invited, and the cash Subscription Lists were closed within an hour or two of the opening, thus indicating large over-subscriptions. The final result of the Loan will not, of course, be known until the Conversion Lists are closed on Monday next, but there is little doubt that the operation will be found to be a huge success. If that is so, Australia will then have converted, within a period of abour two years, something like £124,000,000 of its debt to this- country, on terms securing to the Commonwealth Government an annual saving in interest of £2,589,000 in Australian pounds.
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