Overseas investment decision for case 201420062 - Freshmax NZ Limited

An overseas investment in sensitive land, being the Applicant's acquisition of rights or interests in 76% of the shares in Agrilasia Farms Limited Joint Venture which will own or control:

• a leasehold interest in approximately 215 hectares of land at various addresses in the Hawkes Bay; and
• a freehold interest in approximately 171 hectares of land at various addresses in the Hawkes Bay.

The Applicant is one of New Zealand’s major distributors, marketers and exporters of premium fresh produce and a joint venture and business partner of the Crasborn Group.

To assist its strategy of ensuring the supply of specific apple varieties to the global market, the Applicant seeks to acquire the securities and intends to further develop the sensitive land.

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 of Jobs
17(2)(a)(iii) – Increased export receipts
17(2)(a)(iv) – Greater productivity and efficiency
17(2)(a)(vi) – Increased processing of primary products

Overseas Investment Regulations 2005
28(a) – Consequential benefits
28(c) – Affect image, trade or international relations
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.