DecisionConsent granted
Section 12(b) Overseas Investment Act 2005
Decision date29 July 2011
InvestmentAn overseas investment in sensitive land, being the Applicant's acquisition of rights or interests in up to 100.0% of the units of Kowhai Pastoral Limited Partnership which owns or controls a freehold interest in 417.9140 hectares of land at 2138 Waimea Highway, Riversdale, Gore.
Consideration$14,000,000
ApplicantNMP Farm Investment GmbH and PP1 Agrar Ozeanien GmbH
Aquila AgrarINVEST III GmbH & Co. KG and PP1 Agrar Ozeanien Investitions GmbH & Co. KG, Germany (100.0%)
VendorNeville Hilton Limited
New Zealand (100.0%)
Background

The property will continue to be used as a dairy farm. The farm is currently operated as a single dairy unit. The Applicant intends to convert the farm into two dairy units in order to lift production and performance. Proposed development includes improved effluent storage and use, upgrading of irrigation, construction of new housing and a new 40 aside herringbone cowshed and the installation of a meal feeding system.

The overseas investment transaction has satisfied the criteria in section 16 of the Overseas Investment Act 2005. The 'substantial and identifiable benefit to New Zealand' criteria were satisfied by particular reference to the following factors:

Overseas Investment Act 2005
17(2)(a)(i) – Creation/Retention of jobs
17(2)(a)(iii) – Increased export receipts
17(2)(a)(iv) – Added market competition/productivity
17(2)(a)(v) – Additional investment for development
17(2)(a)(vi) – Increased processing of primary products
17(2)(b) –Indigenous Vegetation/Fauna
17(2)(c) – Trout, salmon, wildlife and game
17(2)(e) – Walking Access

Overseas Investment Regulations 2005
28(e) – Previous investments
28(i) – Economic Interests
28(j) – Mitigating Factor

More informationNicholas Russell
Chen Palmer
P O Box 2160
WELLINGTON 6015