| Decision | Consent granted Section 12(a) Overseas Investment Act 2005 |
|---|---|
| Decision Maker | The Minister for Land Information and the Associate Minister of Finance |
| Decision Date | 15 April 2019 |
| Investment | An overseas investment in sensitive land, being the Applicant's acquisition of a freehold interest in approximately 162 hectares of land at 86 Forbes Road, Mabel Bush, Southland. |
| Consideration | $7,839,000 |
| Applicant | Horizon Flowers NZ Limited Netherlands (100%) |
| Vendor | Far South Farms Limited New Zealand (100%) |
| Background | The Applicant is a family owned business specialising in planting and processing tulip bulbs. The Applicant is 100% beneficially owned by Dutch citizens. The Applicant has been operating in Southland since 2014, where it operates a tulip bulb business including a processing facility. The Applicant is acquiring approximately 162 hectares of land near its tulip bulb processing facility. Soil in which tulip bulbs are planted requires a regeneration period of at least six years after harvest. The land being acquired is currently used as a dairy farming operation and the Applicant will plant 27 hectare plots of the 162 hectares on a six year rotational basis. The remainder of the land will be leased back to the vendor to continue to operate as a dairy farm. The investment will likely result in the introduction of additional investment to plant the tulip bulbs, the creation of new jobs (both permanent and seasonal) to plant and harvest the tulip bulbs, as well as increased export receipts. The Applicant’s previous overseas investments have resulted in the introduction of additional investment to build the tulip bulb processing facility and the creation of jobs for planting, harvesting and processing. This investment is likely to enhance the on-going viability of that previous investment. |
| More information | Catherine Reid Barrister catherine@catherinereid.co.nz |