_'"! 



THE INDIA RUBBER WORLD 



[March i, 1910. 



THE BRITISH RUBBER CRAZE. 



f ~T l 1 ! E 6 irmation of rubber plantation companies in Europe goes 

 * merrily on, with no abatement of the feverish enthusiasm 

 with which anything in the name of "rubber" is greeted by 

 whoever can buy a £1 share. It is one thing to announce the 

 registration at Somerset House, London, of a company with a 

 large nominal capital; American corporations with authorized 

 shares mounting up into the millions have been known, where the 

 "public" never so much as gave a sign that any announcement 

 had been made public. They do such things in Britain, too., but 

 the point of this article is that w'hen the prospectus of a RUBBER 

 company is advertised one morning, the office force of the 

 promoters is won; out in the evening sending out to would be 

 investors letters of regret that there are not enough shares to go 

 around. 



During January the West Jequie Rubber Estates, Limited, was 

 floated in London, to take over the Jequie Rubber Syndicate, 

 Limited, a Manilwt rubber proposition in southern Brazil. The 

 first thing was an advertisement in the morning papers. The 

 second chapter appeared in the news columns the next morning: 



"This company has gone to allotment, 298 subscribers 

 receiving on an average about 2 l / 2 per cent, of the number 

 of shares they applied for. Some slight advantage being 

 given to shareholders in the Jequie Rubber Syndicate, 

 Limited, and to people connected with the rubber trade, so 

 far as they could be identified. The issue having been sub- 

 scribed so many times over, the directors are compelled to 

 return letters of regret in respect of 561 subscriptions, rep- 

 resenting a further 734,511 shares applied for. Letters of 

 allotment and regret will be posted as soon as they can be 

 prepared." 



And look at this item in a financial paper, on the day following 

 the public offer of the shares of The Madagascar Rubber Co., 

 Limited: "It was stated last night that the shares of the Mada- 

 gascar Rubber Co. had already been subscribed twenty times over. 

 A substantial premium, as will be seen, had already been es- 

 tablished." Shares in an untried proposition, in an alien country, 

 quoted at a premium before delivery to the subscribers ! 



What follows is not presented as a complete list of British . 

 registrations of rubber planting companies since January r. but 

 only a record of those which have come to the notice of this 

 journal in respect of the month of January. The list gives an 

 idea of the wide distribution of the enterprises which have 

 appealed during this period to British investors in rubber. The 

 18 companies mentioned have a combined capitalization of 

 £1,703,000 [ = $8,287,649.50]. 



Federated Malay States. 



Gedong (Perak) Rubber Estate, Limited; Jan. 11 £60,000 



Vigornia Rubber Co., Limited; in Negri Sembilan; 



Jan. 27 20,000 



Native M \lay Stat] 



Kota Tinggi (Johore) Rubber Co., Limited; Jan. 15... £35,000 



Kuala Pain Rubber Estate, Limited; Jan. 5 60,000 



Gonial Rubber Co., Limited: in Johore ; Jan. 21 120,000 



Peneiro Rubber Estates, Limited; in Johore; Jan. iS. .. 85,000 



Straits Settlements. 



Juru Estates. Limited ; Jan £85.000 



Rim (Malacca) Rubber Estates, Limited; Jan. 23 90,000 



South India. 



Malayam Rubber and Produce Co., Limited; Jan £500,000 



British North Borneo. 



Sapulo Rubber Co., Limited : Jan. 7 £150,000 



Kapoewas Rubber Co., Limited; Jan. 28 100,000 



Dutch East Indies. 



Siak (Sumatra) Rubber Estates, Limited; Jan. 15 £75,000 



Rini (Java) Rubber Estates, Limited; Jan. 25 55.000 



Barn (Java) Estates, Limited; Jan. 29 70,000 



Brihmi East Africa. 



Kisumu Rubber Estates, Limited; Jan. 28 £45,000 



Madagascar. 



Madagascar Rubber Co., Limited; Jan. 25 £53,000 



British West Indies. 

 West Indian Estates, Limited ; in Barbados and Trini- 

 dad ; Jan. 27 £50,000 



Brazil. 

 West Jequie Rubber Estates, Limited; Jan. 12 £50,000 



RUBBER SHARES IN THE LONDON NEWS. 



The prominence given to rubber share trading in the London 

 market is indicated by the large headlines on the first page of 

 important daily journals. For example, we subjoin the wording 

 of the top headings appearing daily for one week in The Financial 

 News. The subordinate features of these headlines relate to other 

 classes of securities which formerly held first place in the interest 

 of stock traders : 



(Monday) 



RUBBERS AGAIN THE FEATURE 



OF THE INDUSTRIAL TRADING. 

 (Tuesday) 



RUBBER SHARES VERY ACTIVE, 



BUT OTHER INDUSTRIALS QUIET. 

 (Wednesday) 



RUBBER SHARE BOOM CONTINUES, 



AMID INACTIVE SURROUNDINGS. 

 (Thursday) 



RUBBER MARKET CONTINUES 



TO MONOPOLIZE ATTENTION. 

 (Friday) 



RUBBER SHARES CLOSE STRONG 



IN SPITE OF EFFORTS OF BEARS. 

 (Sa(urday) 



RUBBERS MONOPOLIZE INTEREST 



IN FIRM INDUSTRIAL MARKET. 

 * * * 



[FROM A NEW YORK NEWSPAPER.] 

 RUBBER BOOM STRETCHES. 



Wild Times on London 'Change — Public Rushes to Buy Shares of New 



Companies. 



Special Cnbh Despatch to The Sun. 



London, Feb. 16. — The boom in rubber shares which has 

 excited the Stock Exchange for some time has reached un- 

 expected dimensions, exceeding any in recent times. The 

 demand is due to the public realizing that rubber can be 

 profitably cultivated in parts of the world where it is not 

 yet grown, such as in Ceylon and the Malay states. 



Numerous companies have been formed and some have 

 already declared big dividends. Each day sees riotous ex- 

 citement in the section of the exchange devoted to trading 

 in rubber shares. The brokers are making huge profits. The 

 public is buying furiously. Many persons who bought 

 shares some time ago and sold out at a handsome profit are 

 now rebuying shares at double the tenner price. 



New companies continue to be floated. The subscription 

 list of three such companies will open tomorrow and they 

 will doubtless be closed before the advertised time, as 

 has been the case with many others. 



I lie brokers and clerks are becoming physically worn out. 

 They rarely leave the city, snatching short spells of sleep 

 at hotels 



Boots the Farmers Wear. — The rubber manufacturers realize 

 that there is a point above which it is impolitic to raise prices, 

 namely, to such a point that customers will decide to dispense 

 with rubber footwear and purchase waterproof boots and shoes 

 of leather. This has been found to be the case at previous times 

 when the discrepancy between the two lines of gqpds has been 

 too great. Farmers are inclined to wear rubber boots or leather 

 ones, according to which will give the best service for the money 

 paid, and they are careful buyers, figuring very closely in this, a5 

 in other respects. 



