TEL AVIV (Oct. 29)
With the completion of arrangements for the conversion of the Anglo-Palestine Bank from a British to an Israel corporation known as the Israel National Bank a circular was issued by the board of directors of the bank today to all shareholders proposing that the present shares of Anglo-Palestine Bank issue be replaced by shares issued by the Israel National Bank. This would be done, the circular pointed out, after the corporation is legally registered in Israel as a banking institution.
Ninety percent of the shareholders-most of whom are British citizens–have agreed to change their shares and the Anglo-Palestine Bank will go into liquidation, transferring all its assets to the new Israel National Bank. The circular proposes that three shares of the new company be distributed for every two of the old turned in and provides for the sale of two shares of stock at a nominal price for purchasers of seven shares of new stock. The old bank’s assets amount to 1,200,000 pounds, while the new institution will be capitalized at 3,000,000 pounds.
The holders of shares in the Jewish Colonial Trust, Zionist forerunner of the Anglo-Palestine Bank, who control a majority of the voting stock in it, have agreed to exchange their shares for stock in the new company. It is expected that most of the holders of “A” stock, with no voting rights, will follow suit.