Decision
| Consent granted |
|---|---|
Decision Maker | The Minister for Land Information and the Associate Minister of Finance |
Decision Date | 21 June 2018 |
Investment | An overseas investment in sensitive land and significant business assets, being the Applicant's acquisition of a 100% of the shares of Godfrey Hirst Australia Pty Ltd which owns or controls a freehold interest in approximately 6.7385 hectares of sensitive land located at 3 Spey Street, Oamaru. |
Asset Value | $208.4 million (New Zealand portion of the Target’s assets) |
Applicant | Mohawk Industries, Inc. |
Vendors | GHWW Pty Limited The shareholders of Rata International Pty Limited |
Background | Mohawk Industries, Inc. is a worldwide flooring company incorporated in the United States of America. This consent enables Mohawk Industries, Inc. to acquire 100% of the shares in Godfrey Hirst Australia Pty Ltd (the “Target”) through its wholly-owned Australian subsidiary, Premium Floors Australia Pty Limited. The Target owns an interest in sensitive land in Oamaru upon which a wool spinning facility is located (“Investment”). The Target is an Australian company which operates the Godfrey Hirst business and its New Zealand facilities are located in Auckland, Dannevirke, Lower Hutt and Oamaru (“Target’s Facilities”). The acquisition is part of a large international transaction relating to assets in Australia, New Zealand and North America. In addition to maintaining business as usual operations, Mohawk Industries, Inc. intends to source wool yarn from the Target’s facilities for export to its overseas production facilities, and increase exports of wool carpets from the Target’s facilities to the United States of America market. This increase in exports will increase wool yarn and wool carpet production at the Target’s Facilities. The benefits likely to result from this Investment are associated with this increase in production, including additional jobs being created, increased processing of wool in New Zealand and increased export receipts. |
| More information | Don Holborow |