Overseas investment decision for case 201320037 - Tokyo Opportunities B.V.

An overseas investment in sensitive land, being the Applicant's acquisition of rights or interests in up to 100% of the shares of Mediaworks Investments Limited (or any subsidiary of Mediaworks Investments Limited) which owns or controls:

• a leasehold interest in 4.4441 hectares of land at 200 Horokiwi Road, Horokiwi; and
• a freehold interest in 0.3470 hectares of land at New North Road and Korari Street, Auckland.

An overseas investment in significant business assets, being:

• the Applicant's acquisition of rights or interests in up to 100% of the shares of Mediaworks Investments Limited (or any subsidiary of Mediaworks Investments Limited), the value of the assets of Mediaworks Investments Limited and its 25% or more subsidiaries being greater than $100 million (including where the consideration provided for those shares, whether by one transaction or through a series of related or linked transactions, may exceed $100 million); and/or
• the Applicant's acquisition of rights or interests in the senior and/or super senior debt in the GR Media Group, where the consideration provided for that debt, whether by one transaction or through a series of related or linked transactions, may exceed $100 million; and/or
• the Applicant's acquisition of rights or interests in any debt in Mediaworks Investments Limited (or any subsidiary of Mediaworks Investments Limited) where the consideration provided for that debt, whether by one transaction or through a series of related or linked transactions, may exceed $100 million.

The Applicant currently has consent from the Overseas Investment Office to be the largest shareholder in Mediaworks Investments Limited (26.726%).  The proposed investment will allow the Applicant to increase its interest in Mediaworks Investments Limited up to 100% and give it full control over the Mediaworks business.  This is likely to increase the on-going viability of the Mediaworks business. 

The overseas investment transaction has satisfied the criteria in sections 16 and 18 of the Overseas Investment Act 2005. The 'benefit to New Zealand' criterion was satisfied by particular reference to the following factors: 

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