Applicant
Southern Pastures Limited Partnership
Case number(s)
201410088
Decision date
Type
Decision
DecisionConsent granted
Section 12(a) Overseas Investment Act 2005
Decision date4 December 2014
InvestmentAn overseas investment in sensitive land, being the Applicant's acquisition of a freehold interest in approximately 340 hectares of land located at Forks Rd, Mid Canterbury (Lochan Mor Farm).
Consideration$16,500,000
ApplicantSouthern Pastures Limited Partnership
Sweden (58.4%)
Luxembourg (22.2%)
Germany (16.8%)
New Zealand (2.6%)
VendorLochan Mor LP
New Zealand (100%)
Background

The Applicant intends to operate Lochan Mor Farm as part of its South Canterbury portfolio, and will increase performance through shared efficiencies, additional capital expenditure and sound farming practices.

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)(iii) – Increased export receipts
17(2)(a)(iv) – Greater productivity and efficiency
17(2)(a)(vi) – Increased processing of primary products
17(2)(b) – Indigenous vegetation/fauna
17(2)(e) – Walking access
17(2)(f) – Offer to gift riverbed to the Crown.

Overseas Investment Regulations 2005
28(a) – Consequential benefits
28(e) – Previous investments
28(f) – Advance significant Government policy or strategy
28(g) – Enhance the viability of other investments
28(i) – Economic interests
28(j) – Oversight and participation by New Zealanders.

More informationChris Bougen
Chapman Tripp
PO Box 993
WELLINGTON 6140