Overseas investment decision for case 200820024 - Findella Pty Limited

1. an interest in land which, either alone or together with any associated land, exceeds 0.2 hectares and adjoins the foreshore; and
2. an interest in land which, either alone or together with any associated land, exceeds 0.4 hectares and adjoins land that is listed, or in a class listed, as a reserve, a public park, or other sensitive area by the regulator under section 37.

The application has been approved as it met the criteria.

The Overseas Investment Office is satisfied that the individuals with control of the Applicant collectively have business experience and acumen relevant to the overseas investment, and that the Applicant has demonstrated financial commitment towards the overseas investment. The Overseas Investment Office is further satisfied that each individual that exercises control over the Applicant is of good character and is not an individual of the kind referred to in section 7(1) of the Immigration Act 1987.

Background to the Investment:
The Mantzis Family Trust is one of the principal shareholders of Dixie Cummings Enterprises Pty Ltd ('Dixie Cummings Australia'), which claims to be Australia's largest private importer and distributor of furniture from Asia (over four hundred 40-foot containers each month). Dixie Cummings Australia now wishes to expand its business into New Zealand.

The shareholders of Dixie Cummings Australia have entered into a joint venture with the shareholders of John Young Furniture Limited ('JY Furniture'), a New Zealand company that has manufactured lounge suites in Auckland for the past 34 years. The parties have incorporated a new company in New Zealand to operate the joint venture, called Dixie Cummings New Zealand Limited ('Dixie Cummings NZ').

Dixie Cummings NZ proposes to operate its business from the same factory and warehouse premises that JY Furniture has operated from in Mangere Bridge.

Outline of the Investment:
The Applicant, acting as the trustee of the Mantzis Family Trust, is purchasing the freehold interest in the land, including all existing improvements.

Rationale for the Investment:
Purchasing the land will allow the Applicant to support its investment in Dixie Cummings NZ by owning the premises from which the business will operate.

The proposed overseas investment will, or is likely to, benefit New Zealand (or any part of it or group of New Zealanders) having regard to the following benefits:

Overseas Investment Act 2005:
s17(2)(a)(i) - Retention of existing jobs in New Zealand that might otherwise be lost.
s17(2)(a)(v) - Introduction into New Zealand of additional investment for development purposes.