Overseas investment decision for case 201010030, 201010031, 201020032 - UBNZ Funds Management Limited | Toitū Te Whenua - Land Information New Zealand

Applicant: UBNZ Funds Management Limited
Case number(s): 201010030

201010031

201020032
Decision date: 21 Dec 2010
Type: Decision

Decision	Consent declined Section 12(a) Overseas Investment Act 2005 Section 12(b) Overseas Investment Act 2005 Section 13(1)(a) Overseas Investment Act 2005 The relevant Ministers are not satisfied that all of the criteria in section 16 or section 18 of the Overseas Investment Act 2005 are met.
Decision date	22 December 2010
Transactions	There are 6 overseas investment transactions involved in these applications, details of which are listed on the following pages.
Background	Natural Dairy (NZ) Holdings Limited (Natural Dairy) has identified a market in China for milk products which can be guaranteed as being 100% produced and processed in New Zealand. The initial business plan is to acquire the Crafar farms (and possibly additional land thereafter) along with a milk treatment plant to produce long life packaged milk which can be sold by Natural Dairy in Asia.

Transaction 1 (Retrospective)

Applicant	UBNZ Funds Management Limited May Wang, New Zealand (100%)
Vendor	Nugen Farms Limited (in receivership and liquidation) and Windburn View Limited New Zealand (100%)
Investment	An overseas investment in sensitive land being the Applicant’s acquisition in February 2010 of a freehold interest in: "Waitotara” – 160.99 hectares of land at Ngutuwera Road, Wanganui “Norsewood” – 195.14 hectares of land at SH2, Norsewood “Linton” – 222.94 hectares of land at Hewitts Road, Linton “Whakarongo” – 142.84 hectares of land at Napier Road, Manawatu

Transaction 2 (Retrospective)

Applicant	UBNZ Assets Holdings Limited May Wang, New Zealand (100%)
Vendor	UBNZ Funds Management Limited May Wang, New Zealand (100%)
Investment	An overseas investment in sensitive land being the Applicant’s acquisition in February 2010 of a freehold interest in: “Waitotara” – 160.99 hectares of land at Ngutuwera Road, Wanganui “Norsewood” – 195.14 hectares of land at SH2, Norsewood “Linton” – 222.94 hectares of land at Hewitts Road, Linton “Whakarongo” – 142.84 hectares of land at Napier Road, Manawatu

Transaction 3 (Retrospective)

Applicant	Natural Dairy (NZ) Holdings Limited Various Overseas Persons (24.43%) UBNZ Trustee Ltd, New Zealand, and Super Worth International Ltd, British Virgin Islands (17.45%) Xiamen Hengxing Group Co Ltd, China (16.1%) Zhan King, Du Lisa and Sky Upright Enterprises Ltd, Hong Kong (14.17%) High Excellent Ltd, British Virgin Islands (9.18%) Liu Zhen Dong, China (5.74%) Hong Kong Sincere Investment Ltd, China (5.37%) Anton Capital, Hong Kong (4.3%) Wu Neng Kun and Ruan Kang Ling, Hong Kong (1.65%) Lin Zhi Hong, China (1.61%)
Vendor	UBNZ Trustee Limited May Wang, New Zealand (100%)
Investment	An overseas investment in sensitive land, being the Applicant's acquisition in February 2010 of rights or interests in 20.0% of the shares of UBNZ Assets Holdings Limited which owns or controls a freehold interest in: “Waitotara” – 160.99 hectares of land at Ngutuwera Road, Wanganui “Norsewood” – 195.14 hectares of land at SH2, Norsewood “Linton” – 222.94 hectares of land at Hewitts Road, Linton “Whakarongo” – 142.84 hectares of land at Napier Road, Manawatu

Transaction 4 (Retrospective)

Applicant	UBNZ Trustee Limited May Wang, New Zealand (100%)
Vendor	UBNZ Assets Holdings Limited Natural Dairy (NZ) Holdings Limited, Hong Kong (20%) May Wang, New Zealand (80%)
Investment	An overseas investment in sensitive land being the Applicant’s acquisition in May 2010 of an interest as mortgagee in: “Waitotara” – 160.99 hectares of land at Ngutuwera Road, Wanganui “Norsewood” – 195.14 hectares of land at SH2, Norsewood “Linton” – 222.94 hectares of land at Hewitts Road, Linton “Whakarongo” – 142.84 hectares of land at Napier Road, Manawatu

Transaction 5 (Retrospective)

Applicant	UBNZ Assets Holdings Limited Natural Dairy (NZ) Holdings Limited, Hong Kong (20%) May Wang, New Zealand (80%)
Vendor	Plateau Farms Limited (in receivership), Ferry View Farms Limited (in receivership), Taharua Limited (in receivership) and Hillside Limited (in receivership) New Zealand Public (100%)
Investment	An overseas investment in sensitive land being the Applicant’s proposed acquisition of a freehold interest in: “Pine View” and “Cirencester” – 739.5382 hectares of land at Short Road, Reporoa; and “Plateau” – 323.4931 hectares of land at Plateau Road, Reporoa “Rawhiti” – 128.5889 hectares of land at Rawhiti Road, Reporoa “Broadlands” – 404.5229 hectares of land at Broadlands Road, Reporoa “Atiamuri” – 205.9091 hectares of land at Tia Street, Atiamuri “Maxwell” – 646.98 hectares of land at SH 3, Waverley “Forest Road” – 250.2879 hectares of land at Forest Road, Bulls “Kohi Road” – 206.2506 hectares of land at Karahaki Road, Waverley “Karangahape Road” – 627.4693 hectares of land at Karangahape Road, Taupo “Collins Road” – 393.3905 hectares of land at Collins Road, Hamilton “Benneydale I” and “Benneydale II” – 1688.0202 hectares of land at SH 30, Benneydale “Tiwhaiti” – 148.2465 hectares of land at Tiwhaiti Road, Hawera “Taharua Station” – 1750.8204 hectares of land at Taharua Road, Taupo “Ferry View” – 378.9943 hectares of land at Parewanui Road, Bulls.

Transaction 6 (Retrospective)

Applicant	Natural Dairy (NZ) Holdings Limited Various Overseas Persons (24.43%) UBNZ Trustee Ltd, New Zealand and Super Worth International Ltd, British Virgin Islands (17.45%) Xiamen Hengxing Group Co Ltd, China (16.1%) Zhan King, Du Lisa and Sky Upright Enterprises Ltd, Hong Kong (14.17%) High Excellent Ltd British Virgin Islands (9.18%) Liu Zhen Dong, China (5.74%) Hong Kong Sincere Investment Ltd, China (5.37%) Anton Capital, Hong Kong (4.3%) Wu Neng Kun and Ruan Kang Ling, Hong Kong (1.65%) Lin Zhi Hong, China (1.61%)
Vendor	UBNZ Trustee Limited May Wang, New Zealand (100%)
Investment	An overseas investment in sensitive land, being the Applicant's proposed acquisition of rights or interests in the remaining 80% of the shares of UBNZ Assets Holdings Limited which (following completion of Transaction 5) will own or control a freehold interest in: “Pine View” and Cirencester” – 739.5382 hectares of land at Short Road, Reporoa “Plateau” – 323.4931 hectares of land at Plateau Road, Reporoa “Rawhiti” – 128.5889 hectares of land at Rawhiti Road, Reporoa “Broadlands” – 404.5229 hectares of land at Broadlands Road, Reporoa “Atiamuri” – 205.9091 hectares of land at Tia Street, Atiamuri “Maxwell” – 646.98 hectares of land at SH 3, Waverley “Forest Road” – 250.2879 hectares of land at Forest Road, Bulls “Kohi Road” – 206.2506 hectares of land at Karahaki Road, Waverley “Karangahape Road” – 627.4693 hectares of land at Karangahape Road, Taupo “Collins Road” – 393.3905 hectares of land at Collins Road, Hamilton “Benneydale I” and “Benneydale II” – 1688.0202 hectares of land at SH 30, Benneydale “Tiwhaiti” – 148.2465 hectares of land at Tiwhaiti Road, Hawera “Taharua Station” – 1750.8204 hectares of land at Taharua Road, Taupo “Ferry View” – 378.9943 hectares of land at Parewanui Road, Bulls “Waitotara” – 160.99 hectares of land at Ngutuwera Road, Wanganui “Norsewood” – 195.14 hectares of land at SH2, Norsewood “Linton” – 222.94 hectares of land at Hewitts Road, Linton “Whakarongo” – 142.84 hectares of land at Napier Road, Manawatu An overseas investment in significant business assets, being the Applicant's proposed acquisition of rights or interests in 80.0% of the shares of UBNZ Assets Holdings Limited, the consideration of which exceeds $100m.