| Decision | Consent Granted Section 12(a) Overseas Investment Act 2005 |
|---|---|
| Decision Maker | Overseas Investment Office |
| Decision Date | 9 September 2020 |
| Pathway(s) | Sensitive land – substantial and identifiable benefit to New Zealand |
| Investment | An overseas investment in sensitive land, being the Applicant's acquisition of a freehold interest in approximately 24.76 hectares of land at 433 Old Highway, Whakamarama, Tauranga. |
| Consideration | The acquisition of the land forms part of a larger transaction, however the consideration attributed to the acquisition of the land is approximately $4,500,000. |
| Applicant | VSE Holdings Pty Limited United States Public (65%) United Kingdom Public (5%) Canada Public (3%) Switzerland Public (3%) Germany Public (1%) Norwegian Public (1%) French Public (1%) Japanese Public (1%) Various overseas persons (20%) |
| Vendor | GE Healthcare Limited General Electric Company, United States of America (100%) |
| Background | The Applicant is a downstream entity of Danaher Corporation, a New York Stock Exchange-listed global conglomerate primarily involved in the design, manufacture, and marketing of professional, medical, industrial, and commercial products and services. The Investment is one small part of a global $21.3 billion transaction by which the biopharma portion of the Vendor’s Life Sciences business (now known as ‘Cytiva’) was sold to Danaher Corporation. Currently, the land is used for the operation of a business that processes bovine blood into serum for use in pharmaceutical, medical and veterinary research. The Applicant intends to continue this business on the Land. If consent were not to be granted, there was a real risk that the business would be moved out of New Zealand, and the resulting jobs lost. While production at the facility on the land has been affected by the economic impacts of the COVID-19 and environmental conditions, the Applicant expects that normal production levels, and therefore employment levels, should resume within 18 months following the acquisition of the land. The Applicant has satisfied the OIO that the individuals who will control the investment have the relevant business experience and acumen and are of good character. The Applicant has also demonstrated financial commitment to the investment. |
| More information | Martin Thomson DLA Piper PO Box 160 AUCKLAND |