Applicant
Rosebank Forest Products Limited and Southern Cross Forest Products Limited
Case number(s)
201210046
Decision date
Type
Decision
DecisionConsent granted retrospectively
Section 12(a) Overseas Investment Act 2005
Decision date13 September 2012
InvestmentAn overseas investment in sensitive land, being the Applicant's acquisition of a leasehold and freehold interest in 9.2015 hectares of land at 131 Clinton Highway, Balclutha.
Consideration$1,480,776 plus GST
ApplicantRosebank Forest Products Limited and Southern Cross Forest Products Limited
Matthew Forrest Hagen, United States of America (60.03%)
Neil Eric Hagen, United States of America (29.97%)
Colin Gordon Thomas Whitefield, New Zealand (9.5%)
Mark de Lautour, New Zealand (0.5%)
VendorWenita Lumber Limited
Chinese Government, People's Republic of China (62.0%)
GMO Forestry Fund 7 International LP, United States of America (21.6182%)
GMO Forestry Fund 7-B LP, United States of America (9.9484%)
GMO Forestry Fund 7-A LP, United States of America (6.4334%)
Background

The Applicant sought consent for a lease to operate the existing sawmill and processing plant located on the land, and now wishes to purchase the land to continue its operations.

The overseas investment transaction has satisfied the criteria in section 16 of the Overseas Investment Act 2005. The 'substantial and identifiable benefit to New Zealand' criteria were satisfied by particular reference to the following factors:

Overseas Investment Act 2005
17(2)(a)(i) – Creation and retention of jobs
17(2)(a)(iii) – Increased export receipts
17(2)(a)(iv) – Greater efficiency and productivity
17(2)(a)(v) – Additional investment for development purposes
17(2)(a)(vi) – Increased processing of primary products

Overseas Investment Regulations 2005
28(e) – Previous investments
28(g) – Enhance the viability of other investments
28(j) – Mitigating factor

More informationAndrew John Anderson
Gallaway Cook Allan
PO Box 143
DUNEDIN
Retrospective penalty$2000