Applicant
Oceanwood Investments Master SPC on behalf of the Oceanwood Norske Skog Master Segregated Portfolio
Case number(s)
202000029
Decision date
Type
Decision
Decision

Consent granted

Section 12(b) Overseas Investment Act 2005

Decision MakerThe Minister for Land Information and Hon Stuart Nash
Decision Date6 July 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 rights or interests in 6.99% of the Shares of Malta Co. which owns or controls:

  • a freehold interest in 13.8341 hectares of land at Fletcher Avenue and Tamarangi Drive, Kawerau; and
  • a freehold interest in 10.6229 hectares of land at 118A Onepu Spring Road, Kawerau; and
  • a freehold interest in 155.8927 hectares of land at 2721 State Highway 30 Rotoma; and
  • a freehold interest in 0.0721 hectares of land at 45 Rimu Road, Murupara; and
  • a freehold interest in 0.0207 hectares of land at Bell Street, Kawerau; and
  • a leasehold interest in 47.9895 hectares of land at Off Onepu Springs Road, Kawerau; and
  • a freehold interest in 9.0447 hectares of land at 261 Hogg Road, Rotoma; and
  • a freehold interest in 14.1291 hectares of land at 228 Hogg Road, Rotoma; and
  • a freehold interest in 9.1103 hectares of land at 225 Hogg Road, Rotoma; and
  • a freehold interest in 8.9580 hectares of land at 217 Hogg Road, Rotoma; and
  • a freehold interest in 14.5181 hectares of land at 261 Hogg Road, Rotoma; and
  • a freehold interest in 71.8391 hectares of land at State Highway 30, Rotoma.
Asset Value

$20,800,000

Applicant

Oceanwood Investments Master SPC on behalf of the Oceanwood Norske Skog Master Segregated Portfolio

United States Public (56.97%)

Australian Public (15.59%)

Cayman Islands Public (10.49%)

Various overseas persons (9.81%)

Saudi Arabian Public (7.14%)
Vendor

Oceanwood Special Situations Malta Limited, Crown Managed Accounts SPC, and Oceanwood Opportunities Master Fund

United States Public (49.75%)

Various overseas persons (21.24%)

Australian Public (21.2%)

Saudi Arabian Public (7.81%)
Background

Oceanwood is an investment banking group headquartered in the United Kingdom, which manages a number of funds on behalf of institutional investors.

Oceanwood has an existing investment in Norske Skog Tasman Limited which owns approximately 380 hectares of sensitive land in New Zealand, including the Tasman pulp and paper mill in Kawerau. This investment represents a tiny fraction (less than one percent) of the Oceanwood investment portfolio.

The funds managed by Oceanwood are continually rebalanced due to ongoing subscriptions and redemptions, which will trigger the Overseas Investment Act if any individual fund acquires a 25% or more indirect interest or increases an existing 25% or more indirect interest in sensitive land. These transactions occur far upstream of any New Zealand connection.

Oceanwood sought consent to undertake rebalancing transactions on the basis that because the investment funds are widely held and no individual investor has any control over any fund it would be administratively unworkable for it to comply with its obligations under the Overseas Investment Act. It also sought consent for a technical change to its management entity.

Ministers granted consent to future rebalancing within the Oceanwood funds subject to conditions which will ensure that the overall ownership by any client of Oceanwood will not exceed the 25% ownership threshold.

More information

Matthew Olsen

Mayne Wetherell

PO Box 3797

Shortland Street

AUCKLAND