| Decision | Consent granted Section 12(1)(a) and Section 13(1)(a) Overseas Investment Act 2005 |
|---|---|
| Decision maker | The Minister for Land Information and the Associate Minister of Finance |
| Decision date | 30 May 2023 |
| Pathway | Benefit to New Zealand and Significant Business Assets |
| Investment | Acquisition of up to 100% of the shares in each of Waipapa Pine Limited and Renewable Wood Fuels Limited, and approximately 10.856 ha of sensitive freehold land in the Far North District and approximately 1.6892 ha of non-sensitive land in Whangārei. |
| Consideration | $97,000,000 subject to potential increases based on earn out consideration |
| Applicant(s) | Fletcher Wood Products Limited Australia (45.10%); New Zealand (27.30%); United States of America (17.20%); United Kingdom (5.60%); Europe Region (1.80%); Norway (1.20%); Various (1.80%) |
| Vendor(s) | Trustees of the Adrian Broughton Trust and the Puriri Investment Trust, and Northwood Investments Limited New Zealand (100.00%) |
| Background | The Applicant is part of the Fletcher Building Group, which operates in, and supplies materials to the building and construction industries in New Zealand, Australia, and the South Pacific. Waipapa Pine Limited operates on two sites in the Northland region - the sawmill in Waipapa, Kerikeri and a timber treatment plant in Whangārei. Renewable Wood Fuels Limited operates from the same sawmill in Waipapa, Kerikeri as Waipapa Pine. The Applicant intends to undertake upgrades to both sites including automation upgrades as well as the installation of a new boiler at the Waipapa Site. The Applicant also intends to increase production at the sawmill on the Waipapa Site resulting in additional job opportunities. The Ministers granted consent as they considered that the Applicant has met the investor test criterion and that the benefit likely to occur because of the investment would result in benefit to New Zealand. |
| More information | Tessa Baker Chapman Tripp (Auckland) PO Box 2206 AUCKLAND 1140 |