DecisionConsent granted
Section 12(b) Overseas Investment Act 2005
Section 13(1)(a) Overseas Investment Act 2005
Decision Date5 December 2017

Investment

An overseas investment in sensitive land, being the Applicant's acquisition of shares in Millennium & Copthorne Hotels plc which, via its interests in Millennium & Copthorne Hotels New Zealand Limited and CDL Investments New Zealand Limited (and their other subsidiaries), has interests in approximately:

  • 5.2250 hectares of land in the Far North District
  • 27.8617 hectares of land in Auckland Council region
  • 101.4772 hectares of land in Hamilton City region
  • 1.0109 hectares of land in the Rotorua District
  • 0.8819 hectares of land in the Southland District
  • 11.7755 hectares of land in Nelson City region.
ConsiderationUp to around NZ$1,309 million for 34.8% of Millennium & Copthorne Hotels plc, which excludes a special dividend of around NZD$0.38 per share
ApplicantCity Developments Limited
Hong Leong Group, Singapore (48.4%)
Singapore shareholders (19.5%)
Asia (excluding Singapore) shareholders (3.6%)
North America shareholders (11.5%)
UK shareholders (4.6%)
Europe (excluding UK) shareholders (3.1%)
Others (9.3%)
VendorMinority shareholders of Millennium & Copthorne Hotels plc
Background

City Developments Limited proposes to increase its existing ownership interest in Millennium & Copthorne Hotels plc, which holds interests in Millenium & Copthorne Hotels New Zealand Limited and CDL Investments New Zealand Limited, which hold interests in sensitive land and collectively have assets valued at over $100 million.

The investment is likely to result in the following benefits to New Zealand:

  • previous investments, including introducing over $120 million at present dollar value of additional capital and employing approximately 1,200 employees in New Zealand; and
  • maintaining New Zealand’s image overseas, because the underlying transaction triggering the consent requirement occurs in anticipation of an upstream takeover between two foreign-listed companies.
More informationTim Tubman
Chapman Tripp
PO Box 2206
AUCKLAND 1140