| Decision | Consent granted Sections 18A, s16(1)(c)(ii), s16A(1)(a), s16A(1A) and s16(1)(g) Overseas Investment Act 2005 |
|---|---|
| Decision Maker | The Minister for Land Information and the Associate Minister of Finance |
| Decision Date | 3 August 2023 |
| Pathway(s) | Sensitive land - Benefit test and significant business assets |
| Investment | Up to 63.7% of the shares in DAIKEN Corporation |
| Asset Value | Approximately $575,471,151 |
| Applicant | BP Investment Corporation Japan (63.4%) USA (12.5%) UK (8.3%) Belgium (5.6%) Hong Kong (5.5%) Various (4.7%) |
| Vendor | Existing shareholders of DAIKEN Corporation Japan (88.2%) USA (6.1%) Europe region (4.1%) Various (1.6%) |
| Background |
The Applicant is a wholly owned subsidiary of ITOCHU Corporation, a Japanese general trading company dealing in products such as textiles and machinery. The Applicant is acquiring shares in DAIKEN Corporation as part of an international, regulated public market transaction occurring between two major corporations in Japan. The international transaction grants the Applicant, together with its 100% parent ITOCHU Corporation, up to 100% of the voting rights and economic rights in DAIKEN Corporation. DAIKEN Corporation hold interests in sensitive land in New Zealand which the Applicant will acquire through the international transaction. The main benefits to New Zealand are likely to include economic efficiencies and maintaining New Zealand’s international image. Consent was granted as the Applicant has met the investor test criterion and the benefit likely to occur as a result of the Investment will result in benefit to New Zealand. |
| More information | Joshua Pringle Chapman Tripp Level 34, PwC Tower 15 Customs Street West Auckland 1010 |